Dilip Buildcon to Divest Under-Construction Transmission and Solar Projects Worth INR 8,400 Crore to Alpha Alternatives

Dilip Buildcon Limited (DBL) has approved the proposed divestment of its stakes in Mekhali Power Transmission Limited and DBL Renewable Private Limited to Alpha Alternatives Fund Advisors LLP and/or its affiliates or funds managed by the firm. The combined total project cost of the assets is approximately ₹8,400 crore.

The company’s Board of Directors approved the proposal at its meeting held on August 10, 2026. The transaction involves two special purpose vehicles undertaking DBL’s under-construction power transmission and solar projects.

Mekhali Power Transmission Limited is developing a 400-kV substation and power transmission project spanning approximately 470 circuit kilometres in Belagavi district, Karnataka.

DBL Renewable Private Limited is developing a 1,363 MW AC / 1,977 MWp DC solar portfolio comprising 10 SPVs with solar assets located across Madhya Pradesh.

The consideration for the proposed transaction will be determined through a phased subscription and closing mechanism based on the terms agreed between the parties. Definitive agreements for the transaction have not yet been signed.

DBL said the proposed divestment is aimed at unlocking value from its infrastructure assets and advancing its strategy of developing an asset-light, multi-asset platform focused on recurring cash flows and capital recycling. The transaction is also expected to support the company’s efforts to deleverage and strengthen its balance sheet.

The proposed transaction will deepen DBL’s existing partnership with Alpha Alternatives, which said the investment reflects its confidence in DBL’s execution capabilities and the long-term growth potential of India’s power and renewable energy sectors.

The transaction remains subject to the execution of definitive agreements, fulfilment of agreed terms and conditions, and receipt of requisite regulatory approvals.

JM Financial Limited acted as the exclusive financial advisor to DBL, while Khaitan & Co served as its legal advisor.