Cyril Amarchand Mangaldas acted as counsel for Adani Power Limited (“APL”) in relation to the establishment of a joint venture (“Project Company”) with Druk Green Power Corporation Limited (“DGPC”), Bhutan’s state-owned generation utility, for setting up a 570 MW Wangchhu hydroelectric project in the Himalayan Kingdom of Bhutan on a BOOT (Build, Own, Operate, Transfer) model (“Project”) by entering into the investment cum shareholders agreement. APL and DGPC to have 49% and 51% stake in the Project Company respectively.
CAM advised APL on review, negotiations and finalisation of: (a) the investment cum shareholders agreement; (b) the concession agreement for the Project to be executed with the Royal Government of Bhutan; and (c) the term-sheet indicating in-principle understanding on the Power Purchase Agreement.
The transaction documents have been signed in the presence of the Hon’ble Prime Minister of Bhutan, Dasho Tshering Tobgay and Mr. Gautam Adani, Chairman, Adani Group. The Project is the first hydroelectric project to be undertaken under the memorandum of understanding between the Adani Group and DGPC for jointly developing 5,000 MW of hydropower in Bhutan.
The transaction was led by Subhalakshmi Naskar, Partner (Co-Head – Projects (Infrastructure)); Surya Sreenivasan, Partner; with support from Viraj Gami, Principal Associate; and Tanuj Agarwal, Associate.
Project and Project Finance team comprised of Surya Sreenivasan, Partner; Aniket Singhania, Partner;Medha Rao, Principal Associate; and Harsh Jain, Associate.
Paridhi Adani, Partner (Head – Ahmedabad); provided strategic inputs on the transaction.