India's GAIL highest bidder for IL&FS wind assets with $689 mln offer (updated)

IL&FS Transportation Networks

22/04/2019 15:54

(Adds details, background)
    April 22 (Reuters) - GAIL (India) Ltd  GAIL.NS  is set to
complete the purchase seven wind power plants from India's
debt-ridden Infrastructure Leasing and Financial Services
(IL&FS), after offering 48 billion rupees ($689.3 million),
IL&FS said on Monday.
    The deal is expected to close within three weeks.
    GAIL's offer contemplates no hair-cut to the debt of the
plants, which is around 37 billion rupees, IL&FS said.
    Last year, sources told Reuters that GAIL would not consider
buying the entire wind energy assets of IL&FS unless offered at
a steep discount.  urn:newsml:reuters.com:*:nL4N1XR3IM
    The Indian government replaced IL&FS' entire board earlier
this month after recent defaults on some of its debt obligations
triggered sharp declines in stock and debt markets, leading to
fears about contagion in India's financial sector.  urn:newsml:reuters.com:*:nI8N1TX00E
    IL&FS has initiated the sale several assets, including road
and education, to pay off its debt.

($1 = 69.6350 Indian rupees)

 (Reporting By Arnab Paul in Bengaluru; Editing by Shreejay
Sinha and James Emmanuel)
 ((arnab.paul@thomsonreuters.com; +91 8067493881; Reuters
Messaging: arnab.paul.thomsonreuters.com@reuters.net))