Actis and GIC Back GVK Energy With US$154m Investment

LONDON, December 16, 2010 /PRNewswire/ -- Emerging markets private equity investor Actis, and an affiliate of the Government of Singapore Investment Corporation ('GIC'), today announced an investment each of US$77m in one of India's leading power developers, GVK Energy.

GVK Energy, a wholly owned subsidiary of GVK Power and Infrastructure Limited ('GVKPIL') is one of the first private sector developers in India. GVK's power portfolio comprises an operational capacity of 909 MW with a further 4200 MW in various stages of development. This funding round enables GVK Energy to further develop, construct and operate power plants in India.

Commenting on the announcement, Mr. G V Krishna Reddy, Chairman, GVKPIL said: "GVK has been a pioneer in the infrastructure sector in India, having developed India's First Independent Power project. Today, we are poised to significantly grow our energy business to meet the growing demand in India. While this strategic transaction will enable GVK Energy to deploy further capital we believe that both Actis and GIC will prove to be ideal partners in the next phase of the company's growth."

Michael Till, Partner and Co-Head of Actis's Infrastructure business said, "By investing in such a well-established, highly-respected business as GVK Energy, Actis is helping to secure India's current and future energy needs. We are delighted to be part of this important investment."

The GVK deal underlines Actis's commitment to the Indian infrastructure sector; building on its announcement in April 2010 of a joint venture with Tata Realty and Infrastructure to invest US$200 million in Indian road and highway projects.

About Actis

Actis is a leading private equity investor in emerging markets with a growing portfolio of investments in Asia, Africa and Latin America; it currently has US$4.7bn funds under management. With over 100 investment professionals on the ground in 9 offices worldwide, Actis identifies investment opportunities in India and the emerging markets by bringing local experts together with specialist sector teams. Actis invests in infrastructure businesses in Africa, Latin America and South and South East Asia with a focus on power and transport. Actis announced the close of its global infrastructure fund, Actis Infrastructure 2, in September 2009 with commitments totalling US$750m.

http://www.act.is

About GVK

GVK is amongst India's largest infrastructure developers with experience and expertise spanning areas including Energy, Airports, Roads and Urban Infrastructure. To date, GVK has invested over Rs.107.86bn into infrastructure projects and has on hand projects in the pipeline of over Rs.250bn.

http://www.gvk.com

About GIC

GIC is a global investment management company established in 1981 to manage Singapore's foreign reserves. With a network of offices in nine cities worldwide and headquartered in Singapore, GIC invests internationally in equities, fixed income, natural resource, treasury & currencies, real estate, private equity and infrastructure. GIC Special Investments (GIC SI) is the private equity and infrastructure investment arm of GIC. GIC SI's investments cover a wide spectrum which includes leveraged buyouts, venture capital, growth capital, mezzanine financing, distressed situations, infrastructure and other special situation investments.

    http://www.gic.com.sg

    Media contacts:
    GVK
    Issac George
    Director, Finance, GVK PIL
    +91-40-2790-2663/4
    [email protected]

    Ameya Bundellu/Floyd Almeida
    Ogilvy Public Relations Worldwide, Mumbai
    +91-98-2049-3003/ 98-9247-6208
    [email protected]
    [email protected]

    Actis
    Claire Davies
    +44-207-234-5115
    [email protected]

SOURCE Actis LLP