Fin closure of Reliance Power’s Krishnapatnam UMPP
Reliance Power announced the financial closure of its 4000 MW Krishnapatnam Ultra Mega Power Project being developed by Coastal Andhra Power Ltd (‘CAPL’), its wholly owned subsidiary. The company executed financing agreements for the imported coal fired Ultra Mega Power Project (UMPP) located at Krishnapatnam, Andhra Pradesh.
The Krishnapatnam UMPP is the largest power project in South India and will supply power at a competitive levelized tariff of Rs 2.33 / kWh to the four States viz. Andhra Pradesh (1600 MW), Maharashtra (800 MW), Tamilnadu (800 MW), and Karnataka (800 MW) thus benefitting more than 30 crores Indians. The estimated project cost of Krishnapatnam UMPP is Rs 17,500 crore (US$ 4 Bln) and is being financed at a 75:25 debt equity ratio.
IDBI Bank is the lead arranger for the debt facility with Power Finance Corporation (PFC) acting as Joint Lead Arranger. A consortium of over fifteen
banks and financial institutions are participating in the financing arrangements. The consortium includes Rural Electrification Corporation, LIC, UCO Bank,
Union Bank, Andhra Bank, Corporation Bank, Punjab National Bank, Indian Overseas Bank, Andhra Bank, State Bank of Bikaner and Jaipur, State Bank of
Hyderabad, Vijaya Bank, Punjab and Sind Bank, Yes Bank and Indian Bank.
The Krishnapatnam financing is one of the largest debt raising in India, across
On the occasion, JP Chalasani, CEO of Reliance Power said, "With the financial closure for the Krishnapatnam UMPP, we have completed the financing arrangements for two UMPPs awarded to us by the Government of India and have secured funding for a capacity of 10000 MW. The Krishnapatnam
financing is an important milestone as we undertake the implementation of our power project portfolio of over 37,000 MW. We thank the Indian banks and
financial institutions for extending their strong and continuing support to the Reliance Anil Dhirubhai Ambani Group and Reliance Power."