Sterlite Power Transmission Limited (SPTL) to demerge transmission & products business

Sterlite Power Transmission Limited (SPTL) to demerge transmission & product.

Expert Analysis:

• The company has filed the demerger scheme with the NCLT in Mumbai; the approval process is within the next 6 to 8 months.

• SPTL has decided to demerge its Power Transmission Infrastructure business, which operates under a BOT model in India and Brazil.

• SPTL will continue to retain its Global Products & Specialized EPC Services business, as well as the Convergence - Fiberco business.

• Pratik Agrawal said two entities should establish separate capital structures, unlock potential value, and each entity’s unique growth profiles.