A consortium led by AIM-listed KSK Emerging India Energy Fund has proposed to pick up 49% equity stake in Athena Infraprojects for Rs 220 crore.
This is according to filings submitted by the company to the Foreign Investment Promotion Board (FIPB). The deal, which is yet to be finalised, is expected to value Athena Infra at around $100 million.
Sources in KSK Emerging however pointed out that diligence is still on and the acquisition of 49% equity stake is yet to be confirmed.
Athena Infra is promoted by a group of entrepreneurs and industrialists including N Prasad of Matrix Pharma, who sits on the board of Mylan following Mylan?s acquisition of Matrix.
Athena develops hydro-electric and thermal power projects; it is currently working on power generation projects in Orissa, Sikkim, Chhatisgarh, Arunachal Pradesh and Meghalaya. These projects will absorb investments worth $12 billion and the firm is looking at raising capital through various means.
Athena Infra develops power projects directly as well as through special purpose vehicles with other developers. Incidentally, IDFC and PTC India hold 48% stake in its subsidiary Athena Energy Ventures, which is also into power generation activities.
KSK Emerging India Energy Fund is an AIM-listed, closed-ended investment firm established to make investments in companies engaged in the Indian energy sector.
It had raised $200 million through AIM earlier this year. It is the second firm of the KSK group listed on AIM, apart from KSK Power Venture Plc, and the third listed group firm globally.