Genus, Gem View to set up platform to fund smart metering projects in India
Genus Power Infrastructure Ltd (Genus Power) announced on Tuesday that it has signed definitive agreements with Gem View Investment, a subsidiary of GIC Corporation, Singapore to create a platform to offer advanced metering infrastructure service provider franchises.
The company said in the BSE filing that Gulf Investments will own 74 percent of the shares, while Genos will own 26 percent of the platform.
The two partners committed to a $2 billion seed pipeline. She added that Genas will be the exclusive supplier of the smart metering platform and related services.
Chiswick Investment Pte, a subsidiary of GIC, will invest up to Rs 590 crore by way of a preferential allocation to the warrants, which will constitute 15 per cent of the issued and paid-up share capital of Genus on a fully diluted / transfer basis, he added.
Genus said the deals are subject to approval by Genus shareholders and the fulfillment of customary closing conditions to the satisfaction of GIC’s affiliates.
“This represents the largest transaction in the smart meter space in the country and puts Genus at the forefront of the smart meter revolution underway in the country,” Genus said.
“Through these transactions, Genus will complement its manufacturing and execution prowess with access to capital. Genus will expand the deployment of smart energy meters across India, supporting energy security and transition through grid optimization and efficiency,” it said.
As a reminder, the government is implementing the National Smart Metering Project, under the Revised Distribution Sector Scheme (RDSS), with a plan to install 250 million meters by 2025 with an estimated investment of $30 billion.
With technical and commercial losses exceeding 15 per cent for all major Indian utilities resulting in high financial losses, smart metering projects under the RDSS scheme are conceptualized to reduce such losses, improve the operational efficiency of DISCOM units and improve their financial sustainability by providing financial-related results, she said. company.
Speaking about the development, CEO and Managing Director Raj Agarwal said, “Genus has achieved market leadership through its strong focus on research, development and innovation. Our ability to deliver next generation smart meter technology and related solutions to the evolving needs of the Indian energy sector will be an asset to the platform.”