Transaction Details
- Execution Date: Definitive agreements executed on September 8, 2026
- Counterparty: Alpha Alternatives
- Asset: 51.0% equity stake in Mekhali Power Transmission Limited
- Project Type: Under-construction power transmission project
- Location: Belagavi District, Karnataka
- Project Specifications: 400 kV/220 kV sub-station with approximately 470 circuit kilometers of transmission lines
- Development Basis: Build-own-operate-transfer (BOOT) basis under tariff-based competitive bidding (TBCB) route
- Agreement: Transmission Service Agreement dated May 30, 2026 with Karnataka Power Transmission Corporation Limited (KPTCL)
- Commercial Operations Target: Mid-2028
Financial Details
- Total Project Cost: Approximately ₹2,171 crore
- Total Equity Investment: Approximately ₹429 crore
- Equity Funding Ratio: DBL (51%) and Alpha Alternatives (49%)
- Enterprise Value: Approximately ₹2,914 crore for the buyout of DBL's 51% stake
- Valuation Basis: Subject to pre-agreed closing adjustments and conditions precedent
Transaction Structure
- Alpha Alternatives will fully acquire DBL's 51.0% equity stake after project commissioning
- The buyout is based on guidelines of applicable agreements
- Transaction subject to fulfilment of terms and conditions in definitive agreements
- Requisite regulatory approvals required
Strategic Rationale
- Advances DBL's asset-light "DBL 2.0" strategy
- Enables capital recycling and balance sheet deleveraging
- Supports building an asset-light, multi-asset development platform
- Focuses on generating recurring cash flows
- Deepens existing long-term partnership with Alpha Alternatives
Management Commentary
Mr. Kaushal Biyani, Senior Partner and Head, Private Markets, Alpha Alternatives: "This transaction execution reaffirms our confidence in our strategic partner, Dilip Buildcon, and its strong execution capabilities across infrastructure sectors. We continue to deepen our investment in high-quality, long-term infrastructure assets and see strong growth potential in India's power and renewable energy sectors."
Mr. Devendra Jain, Managing Director & CEO, Dilip Buildcon Limited: "This transaction execution marks an important milestone in our DBL 2.0 journey as we build a multi-assets infrastructure platform anchored by long-duration, contracted assets. Our partnership with Alpha Alternatives enables us to recycle capital early in the asset lifecycle."
Advisors
- Financial Advisor to DBL: JM Financial Limited (exclusive)
- Legal Advisor to DBL: Khaitan & Co
- Legal Advisor to Alpha Alternatives: AZB & Partners
Additional Information
- The information will be available on the company website: www.dilipbuildcon.com
- The press release contains forward-looking statements subject to risks and uncertainties
- The company undertakes no obligation to update forward-looking statements