Financing by SBI for Acquisition of Mytrah Energy Assets

Cyril Amarchand Mangaldas (“CAM Team”) advised State Bank of India (“SBI”) on extending a term loan of INR 1400 crores to JSW Energy Limited (“JSW Energy”) for the acquisition of 1,753 MW of renewable energy assets of Mytrah Energy (India) Private Limited (“Mytrah”) by JSW Neo Energy Limited, a wholly owned subsidiary of JSW Energy. This is the largest ever acquisition made by JSW Energy.

The transaction is a one-of-a-kind financing implemented under the RBI Master Circular on Loans and Advances – Statutory and Other Restrictions which allows banks to advance financial assistance to promoters for acquiring shares in a company engaged in implementing or operating an infrastructure project in India.

This transaction will serve as a precedent for future fund raise by promoters from commercial banks to finance acquisition transactions in the infrastructure sector.

Deal team: Ramanuj Kumar, Aiswarja Mohanty, Shrey Srivastava and Mohak Thukral.