Bangalore, 09th April, 2010 :
Bangalore, 9 April 2010 - GMR Energy Limited (“GEL”) has signed a Shareholders Agreement with Temasek Holdings (“Temasek”) to raise capital for its energy expansion plans. Temasek Holdings, a Singapore-based Asia investment company, will invest USD 200 million through its wholly-owned subsidiary Claymore Investments (Mauritius) Pte. Ltd. The investment will be through a structured paper compulsorily convertible into equity.
GEL plans to enhance its installed power generation capacity from the current 808 MW to more than 6,500 MW over the next 3-4 years, thus necessitating significant capital investment to fund its expansion plans in the energy business. The company has already achieved financial closure and achieved fuel linkages for GMR Kamalanga (1,050 MW) and Emco Energy (600MW). Several other projects are also in advanced development stage.
Mr. G.M. Rao, GMR Group Chairman said, “We are extremely happy to have Temasek Holdings as a shareholder of GEL. Temasek is an established investor globally and one of the earliest investors in India. We are confident that this relationship will be a mutually gratifying experience for both parties,”
Mr. Manish Kejriwal, Head of Temasek Holdings India said, “The energy sector within the infrastructure space is an attractive long-term investment area. India may have historically lagged behind in adding new generation capacity, we believe that enabling regulations and private sector participation will allow the sector to add substantially to India's GDP growth rate. We are pleased to announce our partnership with the GMR Group and participate in the growth of GMR Energy.”
About GMR Group
MR Group is a Bangalore headquartered global infrastructure major with interests in Airports, Energy, Highways and Urban Infrastructure. The Company has successfully employed the public-private partnership model to build a portfolio of high quality assets. The Company has thirteen power projects of which three are operational and ten are under various stages of implementation and nine road projects, of which six are operational and three are under development. In the Airports sector, it has developed and commissioned the Greenfield International Airport at Hyderabad. The Group, besides operating and modernising the existing Delhi International Airport, is also building a brand new integrated terminal T3 which will be operational in July 2010. It has also built a new terminal, designed to handle 20 million passenger capacity, at the Istanbul Sabiha Gökçen International Airport in Turkey and is operating it successfully. The Group has also acquired a 50 percent stake in global power generation company InterGen NV, marking its foray into the global energy sector. The Group is also commited to social development initiatives and executes these through its Corporate Social Responsibility arm, the GMR Varalakshmi Foundation (GMRVF).
For further information about GMR Group, visit www.gmrgroup.in
About Temasek Holdings
Incorporated in 1974, Temasek Holdings is an Asia investment company headquartered in Singapore. Supported by 12 affiliates and offices in Asia and Latin America, Temasek owns a diversified S$172 billion (US$119 billion) portfolio as at 31 July 2009, concentrated principally in Singapore, Asia and the emerging economies.
Temasek's investment themes centre on Transforming Economies, Growing Middle Income Populations, Deepening Comparative Advantages and Emerging Champions. Its portfolio covers a broad spectrum of industries: financial services; telecommunications & media; transportation & logistics; real estate; infrastructure, industrial & engineering; energy & resources; life sciences, consumer & lifestyle; and technology. Total shareholder return for Temasek since its inception in 1974 has been a healthy 16% compounded annually.It has a corporate credit rating of AAA/Aaa by rating agencies Standard & Poor's and Moody's respectively.
In India, Temasek has made several investments including ICICI Bank, Mahindra & Mahindra, Tata Teleservices, Bharti Infratel, Punj Lloyd, Matrix Laboratories.
For further information on Temasek, please visit www.temasek.com.sg.