Image default
Energy Events

IL&FS sells its environment business, reduces Rs 1200 crore debt

Beleaguered infrastructure financier IL&FS has sold its stake inenvironment business– IL&FS Environmental Infrastructure & Services Limited and its subsidiaries – toEverEnviro Resource ManagementPrivate Limited, a 100% owned subsidiary of theGreen Growth Equity Fund, India’s leading climate fund, managed by EverSource Capital.

IL&FS, held 97.54 percent stake in the environment business the balance was held by IL&FS Employee Welfare Trust.

This sale will reduce overall debt by Rs 1,200 crore – which is the combined debt of entities under IL&FS’ environment businesses. In addition, around 4,000 employees, including consultants, have been transferred along with the businesses, thus effectively resulting in annual savings of around Rs 50 crores to the IL&FS Group, the company said in a press release.

With this latest sale, IL&FS has successfully addressed nearly Rs 6,400 crores of aggregate debt including Chinese Road Asset sale worth Rs 2600 crore; Gurgaon Metro Resolution amounting to Rs 1900 crore, NHAI settlement worth Rs 693 crore, since January this year.

EverSource Capital manages Green Growth Equity Fund, established with anchor investment from India’s National Investment and Infrastructure Fund (NIIF) and the Department for International Development (DFID), Government of UK.

IL&FS Environmental Infrastructure & Services, manages over 8400 tonnes per day waste. Its assets include an integrated waste to energy plant located at Ghazipur in Delhi, which has generated over 141 million units of green electricity by processing over 1.38 million tons of solid waste.

Sale of Environment business forms part of the IL&FS board’s strategy to resolve overall debt as per the resolution plan approved byNCLAT.
(Catch all the Business News, Breaking News Events and Latest News Updates on The Economic Times.)

Download The Economic Times News App to get Daily Market Updates & Live Business News.


Related posts

Canada’s BentallGreenOak to acquire 1-million-sq-ft Piramal Realty office park for Rs 1,000 crore


Commercial markets across India to remain shut on Feb 26: Traders’ body CAIT


BP enjoys share bounce after unveiling plans to shift away from fossil fuels


Leave a Comment