REG - Infrastructure India Infrastructure Ind W - Extension of Long Stop Date

Infrastructure IndiaAnnouncement

30/05/2022 15:30

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RNS Number : 2827N  Infrastructure India plc  30 May 2022

30 May 2022

 

Infrastructure India plc

("IIP" or the "Company" or, together with its subsidiaries, the "Group")

 

Extension of Long Stop Date

 

Infrastructure India plc, an AIM quoted infrastructure fund investing directly
into assets in India, announces that it has agreed to extend a long stop date
in relation to the conditional sale of Indian Energy (Mauritius) Limited's
("IEL") assets. IEL, which is a wholly owned subsidiary of IIP, is an
independent power producer that owns and operates wind farms at two sites in
the states of Karnataka and Tamil Nadu. IEL holds each wind farm asset within
separate Special Purpose Vehicles ("SPV"), Theni and Gadag, which are its only
assets.

 

As announced on 28 February 2022, IIP entered into an agreement for the
conditional sale of its 100% interest in each SPV to AVSR Constructions
("AVSR"), for a total consideration of INR 550 million (approximately £5.6
million) and the transaction is structured with the separate sale of each SPV.

 

As announced on 20 April 2022, AVSR agreed to provide an unsecured advance of
INR 275 million (approximately £2.8 million), which is 50% of the agreed
consideration for both SPVs. IEL must satisfy all outstanding conditions,
including regulatory approvals, by 15 July 2022, which is extended from 30 May
2022, or refund the advance to AVSR. The long stop extension is a result of
slower than anticipated progress for third party clearance certificates. Upon
satisfaction or waiver of all outstanding conditions and completion of the
sale of the SPVs, the balance of the consideration will be transferred to IEL.
IIP's lenders have waived the requirement to pay down a proportion of the
Company's debt.

 

The Company's creditors continue to be supportive, however, should the
outstanding conditions not be met by IEL and consequently the sale not
proceed, the Company will not have adequate funding to meet its liabilities
when they fall due and will need to identify other sources of financing.

 

The Board looks forward to providing shareholders with further updates, as
appropriate, in due course.

 

 

- Ends -

 

 

 

Enquiries:

 Infrastructure India plc                 www.iiplc.com (http://www.iiplc.com/)

 Sonny Lulla                              Via Novella

 Strand Hanson Limited                    +44 (0) 20 7409 3494

 Nominated Adviser

 James Spinney / James Dance

 Singer Capital Markets                   +44 (0) 20 7496 3000

 Broker

 James Maxwell - Corporate Finance

 James Waterlow - Investment Fund Sales

 Novella                                  +44 (0) 20 3151 7008

 Financial PR

 Tim Robertson / Fergus Young

 

 

 

 

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