Wholly owned subsidiary Sembcorp Utilities has entered into a share purchase agreement to sell 100% shares of SEIL to Tanweer

Wholly owned subsidiary Sembcorp Utilities has entered into a share purchase agreement to sell 100% shares of SEIL to Tanweer

Singapore’s Sembcorp Industries is selling independent power producer Sembcorp Energy India Ltd. to Oman’s Tanweer Infrastructure Pte. Ltd. for ₹11,700 crore (Singapore $2.1 billion).

Wholly owned subsidiary Sembcorp Utilities has entered into a share purchase agreement to sell 100% shares of SEIL to Tanweer, it said on Monday.

Tanweer is indirectly owned by a consortium led by Oman Investment Corporation S.A.O.C. in partnership with the Ministry of Defence Pension Fund, Oman and Dar Investment SPC. The proposed sale is a part of the transformation of Sembcorp’s portfolio from brown to green.

One of the largest IPPs, SEIL operates two supercritical coal-fired plants totalling 2.6 GW. Tanweer, which will become the sole shareholder of SEIL on completion of the transaction, will settle the final consideration via a deferred payment note provided by Sembcorp Utilities.

Sembcorp said it will continue to support SEIL’s operational excellence and initiatives to reduce its greenhouse gas emissions intensity, through a technical service agreement and provision of a financial incentive that rewards reduction in emissions intensity.

The interests of important stakeholders such as SEIL’s existing power distribution customers and end users, employees, lenders as well as the wider Indian power system remain a high priority. The proposed sale is structured to ensure the continuation of the current mode of management and operations at SEIL, it said in a release.



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By Dipak

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