BEL signs Rs 105 deal with NYLIM India Fund, WIH Holdings

New Delhi, July 3 (UNI) Bhilwara Energy Ltd (BEL), a LNJ Bhilwara group company has entered into a private equity placement agreement with Mauritius-based New York Life Investment Management (NYLIM) India Fund and WIH Holdings for Rs 105 crore, to finance new projects and fund expansions in the power business.

As per the deal, NYLIM India Fund and WIH Holdings will together invest Rs 105 crore for minority stakes in BEL.

''We are planning to significantly enhance our power portfolio and are raising funds to finance growth and strengthen our balance sheet,''LNJ Bhilwara Group Chairman Ravi Jhunjhunwala said.

The company believes that the joint venture will enable it implement its growth plans rapidly and also further strengthen its balance sheet that can be leveraged for its planned expansion initiatives, a company statement said.

BEL is currently implementing a 75 MW hydro power project in Punjab. The company had recently been awarded three hydro power projects in Arunachal Pradesh. The new projects and initiatives under execution should add nearly 600 MW to the company power generation capacity once implemented by the year 2012.

As a part of its forward integration initiative, BEL will focus on diversification of its portfolio in the power business. It is now also planning to enter the power transmission, power distribution, power trading and power generation from non hydro sources such as thermal and wind.

UNI