Vedanta-owned Sterlite Power raises ₹725 crore from private equity investors to fuel expansion plans

Vedanta Ltd-owned Sterlite Power has raised ₹725 crore from foreign and domestic investors to fuel its expansion plans. The company aims to use the funds to boost its production capacity, new product development, and expansion in international markets, it said in a press release on Monday.

Sterlite Power raised the funds from US-based GEF Capital Partners and Mumbai-based private equity firm ENAM Holdings. 

“The funds will be used for the ongoing capex expansion and drive strategic growth initiatives by enhancing production capabilities, accelerating new product development, and expanding presence across key international markets,” the statement said.

Pratik Agarwal, Sterlite Power Transmission managing director, said the investment is aimed at delivering innovative and reliable power solutions that support India's energy transition. 

“Decarbonising transmission networks is a key part of the transition to a low-carbon economy. Further, the growth of renewable energy necessitates modernisation and upgradation of transmission networks. We are excited to partner with Sterlite Power and support their portfolio of efficient and reliable products that will catalyse efficiency in power transmission,” said Alipt Sharma, partner at GEF Capital Partners LLC, in the statement.

Axis Capital was the financial advisor for this fund transaction, and Khaitan & Co acted as the legal counsel. 

Sterlite Power exports power conductors, EHV cables and OPGW conductors to organizations in more than 40 countries worldwide, according to the company's LinkedIn profile.

As a part of its demerger, Sterlite Power's Global Products and Solutions business has been an independent company since October 2024. Since then, this has been the first fundraising for the power transmission firm. 

The demerged Sterlite Power Transmission will now conduct the power capital goods business, comprising cables, conductors and specialised services, and the Sterlite Grid 5 Limited business will house the transmission concessions business, according to the release. 

Vedanta's shares closed 1.12 per cent lower at ₹513.40 on Monday, compared to ₹519.70 at the previous market close.