GR Infraprojects Limited (GRINFRA) has successfully acquired Rajgarh Neemuch Power Transmission Limited (RNPTL) for Rs 18.88 crore, marking a significant expansion in its power transmission portfolio. The acquisition was completed through a Share Purchase Agreement with REC Power Development and Consultancy Limited (RECPDCL), formerly known as REC Power Distribution Company Limited.

Acquisition Details

GRINFRA has acquired all 50,000 equity shares of RNPTL, each with a face value of Rs 10, through itself and six nominees. This strategic move has resulted in RNPTL becoming a wholly-owned subsidiary of GR Infraprojects Limited. The transaction was executed on September 29, as per the company's regulatory filing.

Project Background

The acquisition of RNPTL is a crucial step for GRINFRA in fulfilling the conditions of a Letter of Intent (LOI) it received for a significant power transmission project. The project, titled "Transmission system for Evacuation of Power from RE Projects in Rajgarh (1500 MW) SEZ in Madhya Pradesh- Phase III and Evacuation of Power from RE Projects in Neemuch (1000 MW) SEZ in Madhya Pradesh-Phase II," aims to strengthen the power transmission infrastructure in Madhya Pradesh.

About Rajgarh Neemuch Power Transmission Limited

RNPTL, incorporated on June 17, operates in the power transmission and distribution sector. The company was established with an authorized and paid-up share capital of Rs 5 lakh. As a newly formed entity, RNPTL does not have a turnover history, having been incorporated in the current financial year.

Financial and Regulatory Aspects

The acquisition price of Rs 18.88 crore was paid in cash by GRINFRA. The company has confirmed that this transaction does not fall under the category of related party transactions, and neither the promoters nor the promoter group have any interest in RNPTL.

Market Impact and Future Outlook

This acquisition aligns with GRINFRA's strategy to expand its presence in the power transmission sector. By securing RNPTL, the company is well-positioned to execute the large-scale renewable energy evacuation project in Madhya Pradesh, potentially leading to enhanced capabilities and market share in the power infrastructure segment.

Regulatory Compliance

In a separate announcement, GRINFRA has informed that the trading window for dealing in the company's securities will be closed for all designated persons and their immediate relatives from October 1. This closure will remain in effect until 48 hours after the declaration of the company's financial results for the quarter ending September 30, in compliance with SEBI regulations.

The strategic acquisition of RNPTL demonstrates GR Infraprojects' commitment to expanding its footprint in the power transmission sector and its readiness to take on large-scale infrastructure projects in renewable energy.

GR Infraprojects Limited (GRINFRA) has announced two significant strategic moves that are set to reshape its business portfolio. The company's board has approved the acquisition of a power transmission company and the divestment of a highway subsidiary, marking a shift in its infrastructure focus.

Power Transmission Acquisition

GRINFRA is set to acquire 100% equity shares of Rajgarh Neemuch Power Transmission Limited, a wholly-owned subsidiary of REC Power Development and Consultancy Limited. This acquisition aligns with GRINFRA's recent success in emerging as the lowest bidder for transmission system projects in Rajgarh (1500 MW) and Neemuch (1000 MW) renewable energy zones in Madhya Pradesh.

Key details of the acquisition include:

• Target Company: Rajgarh Neemuch Power Transmission Limited
• Authorized and Paid-up Capital: Rs. 5.00 lakh (50,000 equity shares of Rs. 10 each)
• Industry: Power Transmission
• Acquisition Completion: Expected by October 31, 2025

The acquisition is not considered a related party transaction, and the promoter group has no interest in the target entity.

Highway Subsidiary Divestment

In a parallel move, GRINFRA has approved the divestment of its wholly-owned subsidiary, GR Bahadurganj Araria Highway Private Limited (GBAHPL). This decision comes as part of the company's portfolio optimization strategy.

Key aspects of the divestment include:

• Subsidiary: GR Bahadurganj Araria Highway Private Limited
• Buyer: Indus Infra Trust (formerly known as Bharat Highways InvIT)
• Transaction Type: 100% equity stake sale and assignment of unsecured loans
• Expected Completion: By November 30, 2025

Financial impact of GBAHPL on GRINFRA's consolidated financials (as of March 31, 2025):

Strategic Implications

These transactions signify GRINFRA's strategic shift towards expanding its presence in the power transmission sector while streamlining its highway infrastructure portfolio. The acquisition of Rajgarh Neemuch Power Transmission Limited positions GRINFRA to capitalize on the growing renewable energy market in Madhya Pradesh.

The divestment of GBAHPL, while representing a small portion of GRINFRA's consolidated financials, allows the company to focus on core areas of growth and potentially reallocate resources to more promising ventures.

Both transactions are subject to due diligence, regulatory approvals, and the execution of definitive agreements. The company has stated that the divestment transaction will be conducted at arm's length, as Indus Infra Trust is considered a related party.

As GRINFRA navigates these strategic changes, stakeholders will be keenly watching how these moves impact the company's long-term growth trajectory and financial performance in the infrastructure sector.