Edelweiss Alternatives’ Infrastructure Yield Plus acquired L&T Infrastructure Development Projects (L&TIDPL), which includes seven operational roads and one power transmission asset in India.
Larsen & Toubro held a 51% stake in L&TIDPL, while the Canada Pension Plan Investment Board (CPP Investments) owned the remaining 49%. With this transaction, Edelweiss will have a total of 26 assets including 5,000 lane-km of roads, 1,800 circuit km of power transmission assets, and 813 peak MW of renewables, generating a cumulative annual revenue of ₹3,000 crore.
This acquisition is in line with the infrastructure yield strategy to generate regular distributions for investors by acquiring quality operating infrastructure assets with strong cash flows and unlocking value through active asset management, the company said in a statement.
“These assets have a proven track record of revenues and operations, which are geographically dispersed and have long residual life,” said Sreekumar Chatra, managing director of Infrastructure Yield Strategy at Edelweiss Alternatives. “With our strong asset management and operating capabilities, we are confident of creating further value in the portfolio, and scale it up further.”
Edelweiss Alternatives is a large private credit fund with assets under management of $6.3 billion (over ₹52,100 crore) as of December 2023.
“With our strong platform capabilities, we will continue to offer bespoke capital solutions for asset monetization and recycling of capital for Infrastructure developers,” said Subahoo Chordia, head of real assets strategy at Edelweiss Alternatives. “With this acquisition, we will have a high-quality diversified infrastructure portfolio of 26 assets across 13 states, making us a leading infrastructure investor in India.”
Source: Economic Times