Malaysia’s largest power utility player Tenaga Nasional (TNB) has picked up a 30 per cent stake in GMR Energy’s select portfolio of assets for USD 300 million, GMR Infrastructure today said.
“The management committee of GMR Infrastructure (GIL) today approved the proposed primary capital investment by Tenaga Nasional Berhad (Tenaga) in GMR Energy (GEL). The investment represents 30 per cent equity stake in a select portfolio of GEL assets on a fully-diluted basis for cash consideration of USD 300 million,” the company said in a statement. The funds will help reduce GIL’s consolidated corporate debt and result in a stronger balance sheet, it said. GEL is expected to tap Tenaga’s experience in improving performance of its operational assets and develop its under development pipeline of hydro and renewable energy assets.