Amarchand Advises Power Grid on $1.1 Billion Offering
Amarchand & Mangaldas & Suresh A. Shroff Co. has advised state-run Power Grid Corp. of India Ltd. on its $1.1 billion equity share offering.
The government sold 4 percent of its 69 percent stake in Power Grid, India’s largest electricity company, and also issued 600 million new shares for the offering. Most of the proceeds—$850 million—went to Power Grid for new transmission projects and other general corporate purposes.
The government raised $260 million in the share sale. The offering was one of a few such deals in state-owned companies in the past year as the government attempts to raise $6 billion to help close its budget deficit. In February, the government sold 9.5 percent of power company NPTC Ltd. for $2 billion, and has held similar offerings for Oil India Ltd. and mining company NMDC Ltd.
New Delhi partner Prashant Gupta led the team at Amarchand advising Power Grid.
DLA Piper Hong Kong partner Stephen Peepels and Singapore partner Biswajit Chatterjee acted as international counsel for underwriters Citigroup Global Markets India Pvt. Ltd., ICICI Securities Ltd., Kotak Mahindra Capital Co. Ltd., SBI Capital Markets Ltd. and UBS Securities India Pvt. Ltd. S&R Associates acted as Indian counsel to the banks.