R-Infra spurts on filing Rs 13,400 cr claim against Adani Transmission

Reliance Infrastructure (R-Infra) rose 6.31% to Rs 172.70 after the company said it has filed an international arbitration claim of Rs 13,400 crore against Adani Transmission before the Mumbai Centre for International Arbitration.

R-Infra said the arbitration claim, filed before the Mumbai Centre for International Arbitration (MCIA), is over what is described as the breach of terms of its December 2017 share purchase agreement with Adani Transmission related to the transfer of its Mumbai power distribution business.

"In relation to disputes with regard to breach of the terms of the share purchase agreement dated 21st December 2017 relating to transfer of Mumbai Power Business to Adani Transmission Limited, the Company has filed its statement of arbitration claims for a sum of approx. Rupees one hundred and thirty four billion before the Mumbai Centre for International Arbitration. The financial implication cannot be ascertained and is contingent upon the final outcome of arbitration and subsequent legal challenges," R-Infra said in a notification on 9 September 2022.

The Adani Group in 2017 had acquired Reliance Infra's (then Reliance Energy) Mumbai power business including generation, distribution and transmission, in a Rs 18,800-crore deal.

R-Infra is an infrastructure company, developing projects through various special purpose vehicles (SPVs) in several high growth sectors such as power, roads, metro rail and airport in the infrastructure space and in the defence sector.

On a consolidated basis, R-Infra reported net loss of Rs 66.11 crore in Q1 June 2022 as against net loss of Rs 95.15 crore in Q1 June 2021. Net sales rose 42.34% to Rs 6171.96 crore in Q1 June 2022 over Q1 June 2021.

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