PETALING JAYA: Tenaga Nasional Bhd’s wholly owned subsidiary, TNB Topaz Energy Sdn Bhd (TNBTE), has divested all of its 105.60 million units of Tranche 1 investment in the Compulsorily Convertible Debenture (CCD) issued by GMR Bajoli Holi Hydropower Pvt Ltd (GBHH) in India, a subsidiary of GMR Energy Ltd (GEL), for 1.18 billion rupees (RM67.04 million).
TNBTE on April 5, 2019, subscribed to the Tranche 1 CCD investment for 1.06 billion rupees. The project was expected to commence commercial operations by October 2019 but its commissioning was delayed due to unforeseen circumstances. Following the delay, TNBTE did not proceed with Tranche 2 of the CCD investment subscription totalling 1.20 billion rupees, which was originally scheduled by Sept 2019.
Subsequently, the divestment is entered into between TNBTE and GMR Infrastructure Ltd (GIL), the parent company of GEL, for the purchase of the CCD investment.
TNBTE’s divestment of its CCD investment is driven by TNB’s strategy to streamline its international portfolio, defocusing on India, and shifting its efforts to pursue growth in TNB’s focused markets such as the UK, Europe and Southeast Asia. Furthermore, the divestment is consistent with TNB’s initiatives to seek monetisation options for its assets in India and other non-focus markets.
