IndiGrid Infrastructure Trust has successfully completed the acquisition of Gadag Transmission Limited (GTL), marking a significant development in its investment strategy. The acquisition, finalised on 10 March 2026, involved the purchase of 100% of the paid-up capital and management control of GTL from ReNew Transmission Ventures Private Limited and KNI India AS. This transaction follows the execution of a Share Purchase Agreement (SPA) on 2 December 2025, and aligns with the regulatory framework set by the Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014.
GTL, a power transmission entity, was incorporated in June 2020 and operates as a Build-Own-Operate-Maintain Inter-State Transmission System project in Karnataka. The project, which became operational in September 2024, includes approximately 187 circuit kilometres of transmission lines and a transformation capacity of 1,500 MVA. The acquisition is valued at an enterprise price not exceeding INR 3,720 million, excluding adjustments related to working capital movements. Additionally, there is an earn-out component tied to Change-In-Law provisions and other bilateral billing aspects, contingent upon the realisation of specific payments.
The acquisition is in line with IndiGrid’s strategic objective to ensure stable distributions to its unitholders by owning assets with long-term contracts. GTL’s expected revenue for the fiscal year 2026 is approximately INR 36.43 crores, as per the Tariff Adoption Order. This acquisition is not classified as a related party transaction, and no interests from the promoter or promoter group are involved.
Market analysts view this acquisition as a strategic move by IndiGrid to consolidate its position in the power transmission sector, which is crucial for meeting India’s growing energy demands. The acquisition is expected to enhance IndiGrid’s portfolio, providing a stable income stream and reinforcing its commitment to long-term value creation for its stakeholders. As the power transmission industry continues to evolve, IndiGrid’s strategic acquisitions are likely to play a pivotal role in shaping the sector’s future landscape.
This article is written by Business Desk and reviewed by News Desk before publication.