Edelweiss Alternatives, through its Infrastructure Yield Plus strategy, has successfully acquired a 100% stake in L&T Infrastructure Development Projects Limited (L&TIDPL), marking a significant milestone in its infrastructure investment journey. The acquisition, which includes seven operating roads and one power transmission asset in India, is set to enhance Edelweiss Alternatives’ infrastructure portfolio and generate regular distributions for investors.
The portfolio acquired from Larsen & Toubro Limited (“L&T”) and Canada Pension Plan Investment Board (“CPP Investments”) comprises approximately 4,400 lane-kms of roads and 960 ckms of power transmission assets. This strategic acquisition aligns with Edelweiss Alternatives’ infrastructure yield strategy, which focuses on acquiring quality operating infrastructure assets with strong cash flows and unlocking value through active asset management.
Sreekumar Chatra, Managing Director of Infrastructure Yield Strategy at Edelweiss Alternatives, expressed his confidence in the acquisition, stating, “These assets have a proven track record of revenues and operations, which are geographically dispersed and have a long residual life. With our strong asset management and operating capabilities, we are confident of creating further value in the portfolio and scaling it up further.”
Subahoo Chordia, Head of Real Assets Strategy at Edelweiss Alternatives, highlighted the strong interest from various investor segments in their Real Assets Strategy. He emphasized the importance of having a strong management team with decades of industry experience, on-ground operating teams, a sound governance framework, and a track record of performance in the strategy. He also mentioned that with this acquisition, Edelweiss Alternatives will have a high-quality, diversified infrastructure portfolio of 26 assets across 13 states, establishing itself as a leading infrastructure investor in India.
The acquisition of L&TIDPL further strengthens Edelweiss Alternatives’ position in the infrastructure investment space, adding to its existing portfolio of roads, power transmission assets, and renewables. This strategic move not only expands their infrastructure portfolio but also reinforces their commitment to generating value for investors through prudent investments and active asset management.
