Maharashtra Electricity Regulatory Commission (MERC) concluded its hearing into the proposed 100% stake sale of Reliance Infrastructure integrated Mumbai power business to Adani Transmission. MERC has reserved its order which is expected to be delivered in the next few weeks.

Reliance Infrastructure has already received the approval of Competition Commission of India (CCI) and its share-holders for the deal. Reliance Infrastructure and ATL had signed Definitive Binding Agreement for 100% stake sale of the integrated business of generation, transmission and distribution of power for Mumbai in December 2017.

The total consideration value of the deal is estimated at Rs 188 billion.

Reliance Infrastructure will utilize the proceeds of this transformative transaction entirely to reduce its debt, becoming debt free and up to Rs 30 billion cash surplus.

This is the largest ever debt reducing exercise by any Corporate. This monetization is a major step in Reliance Infrastructure Ltd. deleveraging strategy for future growth. Reliance Infrastructure.
 
Mumbai Power business (known as Reliance Energy) is India's largest private sector integrated power utility distributing power to nearly 3 million residential, industrial and commercial consumers in the suburbs of Mumbai, covering an area of 400 sq km. It caters to a peak demand of over 1,800 MW, with annual revenues of Rs 75 billion with stable cash flows. Going forward, Reliance Infrastructure will focus on upcoming opportunities in asset light EPC and Defence businesses.

Shares of the company gained Rs 2.5, or 0.57%, to trade at Rs 437.85. The total volume of shares traded was 13,672 at the BSE (10.03 a.m., Friday).