Sterlite Power receives Brazilian Capital Market Funds by Issuing AAA- Rated Arcoverde Project Debentures

October 22, 2019

Sterlite Power

Sterlite Power receives Brazilian Capital Market Funds by Issuing AAA-Rated Arcoverde Project Debentures

The infrastructure debentures of the Arcoverde project were rated AAA, the best possible risk rating.

New Delhi, October 10, 2019 - Sterlite Power, a leading global developer of power transmission assets, has received funds from newly issued infrastructure debentures rated by Fitch Ratings as AAA (triple A), the best one on the rating scale, for the Arcoverde Project.

This is an important milestone for Sterlite as our first infrastructure debentures in the Brazilian capital markets. “We are pleased with this AAA rating, which attests the financial quality of our projects.” Says Rui Chammas, CEO of Sterlite Power in Brazil.

The rating of Arcoverde Project Debentures issue reflects the operational stage of the project, as well as the legal and regulatory framework of the Brazilian energy sector, associated with the nature of the power transmission segment. The R$ 52 million single-issue transaction has a 23-year term.

With this issuance, the project's long-term financing structure will be composed of both infrastructure debentures and BNB's long-term financing. This way, the project guarantees optimized financing conditions.

The Arcoverde project was commissioned in May 2019, 28 months ahead of ANEEL´s schedule, expanding power transmission services to the Pernambuco region with the construction of 129 km of power transmission lines, the installation of a new substation (Arcoverde II) and the expansion of two other current substations (Garanhuns II and Caetés II).

About Sterlite Power

Sterlite Power is a leading global developer of power transmission assets with projects in India and Brazil. Operating in Brazil since 2017, the company has won 10 power transmission projects in 11 states (Bahia, Ceará, Goiás, Pernambuco, Pará, Paraíba, Minas Gerais, Rio Grande do Norte, Rio Grande do Sul, Sergipe and Tocantins), totalling 29 transmission lines, 34 substations, 4,424 km in length, CAPEX of over BRL 7.7 billion and annual allowed revenue (RAP) of more than BRL 728 million. Globally, its portfolio is a market leader in power conductors, EHV cables and OPGW. Sterlite Power also offers solutions for updating, improving and strengthening existing networks. The company has set new benchmarks in the industry through cutting-edge technologies and operational management that seeks excellence in asset generation, in addition to innovative financing. Go to www.sterlitepower.com/br to learn more.

Media contact:

Sterlite Power: media@sterlite.com