LITL to raise USUSD 2 bn from Chinese banks, FIs
Lanco Infratech Limited (LITL), a leading integrated infrastructure conglomerate, has entered into a memorandum of understanding (MoU) with the China Development Bank (CDB), a bank owned by the Govt. of Peoples Republic of China, to arrange USD 2 Billion debt for two power projects i.e., Anpara Phase II and Himawat, each having capacity of 2x660 MW with supercritical boiler technology.
Out of the total amount of USD 2 Billion required to be raised, USD 600 million will be contributed by CDB, and CDB will syndicate the balance from Chinese banks and FIs.
LITL is one of the largest private sector IPPs in India having an operating capacity of 4740 MW with another 4636 MW is under various stages of execution.
This includes projects based on Coal, Gas, Hydro, Solar and Wind. The company has a target of holding 13000 MW operating capacity by 2015. The company has an EPC order book of Rs 28,500 crore.
K Raja Gopal, CEO - Lanco Power Limited signed the MOU on behalf of Lanco and Zheng Zhijie, Governor CDB signed on behalf of CDB.
Commenting on the development, L. Madhusudhan Rao, Chairman, LITL, said, "This is going to help us in improving the economies of the project and shall help us in completing the power projects within the stipulated time."
China Development Bank has already sanctioned USD 200 million Buyers' Credit for Amarkantak 3 and 4, Babandh and Vidarbha power projects being developed by Lanco Group.
CDB is the largest Chinese development banking institution and one of the leading international bank with total assets exceeding USD 1.1 trillion (Sept 2012).
CDB has sanctioned over USD 7 billion to Indian corporations and has an outstanding amount of over USD 4.3 billion.