Dilip Buildcon Unlocks Value From 1,363 MW Solar Portfolio in Alpha Alternatives Deal

Dilip Buildcon Limited, a leading multi-asset infrastructure company in India, has announced the execution of definitive agreements to divest its stake in ten special purpose vehicles (SPVs) held through its wholly owned subsidiary, DBL Renewable Private Limited (DBRL). These SPVs comprise the company’s under-construction solar portfolio and are being sold to Alpha Alternatives Fund Advisors LLP and/or its affiliates and funds managed by it (“Alpha Alternatives”). The total project cost of the solar portfolio is approximately INR 6,263 crore.

DBRL is developing, designing, and engineering a grid-connected solar photovoltaic portfolio of about 1,363 MW (AC) across 163 locations in Madhya Pradesh, structured through the ten SPVs. The projects are being executed under power purchase agreements with Madhya Pradesh Power Management Company Limited (MPPMCL) as part of the Feeder Level Solarization component of the PM-KUSUM Component C scheme, with commercial operations targeted for September 2027.

Solar Portfolio – Transaction Structure

• The solar portfolio has an estimated total project cost of approximately INR 6,263 crore, including estimated equity investment of approximately INR 1,253 crore.
• DBRL and Alpha Alternatives will fund the equity portion of the project cost in the ratio of 51:49 during the construction period.
• The transaction is valued at an enterprise value of approximately INR 6,829 Cr., subject to pre-agreed closing adjustments and conditions precedent.
• Commercial operations across the portfolio are targeted to commence around September 2027.

The divestment unlocks value for Dilip Buildcon Limited (DBL) and aligns with its strategy of operating an asset-light, multi-asset development platform that prioritizes recurring cash flows and capital recycling for reinvestment in new opportunities. The transaction also advances DBL’s ongoing deleveraging efforts to strengthen its balance sheet, while deepening its long-term partnership with Alpha Alternatives.

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Speaking on the development, Mr. Devendra Jain, Managing Director & CEO, Dilip Buildcon Limited, said: “This transaction marks another important milestone in our DBL 2.0 journey as we continue to build a multi-asset infrastructure platform anchored by long-duration, contracted assets. Following the execution of definitive agreements for our Mekhali transmission project, this transaction further builds on our partnership with Alpha Alternatives and enables us to recycle capital early in the asset lifecycle, while maintaining our disciplined focus on strengthening our balance sheet and building a more asset-light business.”

The transaction is subject to the fulfilment of the terms and conditions set out in the definitive agreements and the receipt of requisite regulatory approvals.

JM Financial Limited acted as the exclusive financial advisor to Dilip Buildcon for the transaction, while Khaitan & Co. acted as the legal advisor to DBL. AZB & Partners acted as the legal advisor to Alpha Alternatives.