Financial closure for Sasan UMPP in a month: RPower

Anil Ambani-led Reliance Power today said it will tie up all the necessary funding for the 4,000-Mw Sasan Ultra Mega Power Project (UMPP) in Madhya Pradesh within a month and lenders have already sanctioned debt of Rs 12,000 crore.

"The financial closure for Sasan UMPP would be done within a month. The sanction letters for the debt of Rs 12,000 crore has already been issued," CEO Reliance Power J P Chalasani told reporters here.

The power project is estimated to cost about Rs 19,000 crore, which the company plans to fund with about 75 per cent of debt and remaining would be its own equity.

Besides Sasan, Reliance Power has also bagged two other UMPPs -- Krishnapatnam and Tilaiya -- and the three projects together are being set up at an estimated cost of Rs 50,000-60,000 crore.

Speaking to reporters after getting letter of sanction for the Tilaiya project, Chalasani said, "The debt appraisals of Rs 16,000 crore for the Sasan project have already been complete. However, our requirement is close to Rs 14,500 crore at debt-equity ratio of 75:25. There is no problem with equity funding for the main plant equipment."