The Firm’s Banking and Finance team advised Virescent Renewable Energy Trust (the “InvIT”) in the private placement of up to 10,000 non-convertible debt securities aggregating up to Rs. 1000,00,00,000 (Rupees one thousand crores) across three, five and seven- year tranches (the “Issue”).

L&L Role:

The Firm acted as legal counsel to the InvIT and was involved in structuring of the deal and in reviewing, negotiating and finalizing the debenture documents including the debt security trust deed, security documents, and contractual comforts. The Firm advised the InvIT on execution and other formalities with respect to the debenture documents including on creation and perfection of security and also provided advice on various aspects under Indian law.

Significance of the Deal:

The InvIT runs with the objective of undertaking investment activities as an InvIT in accordance with the Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014. The transaction is the first of its kind as it marks the first ever issuance by a renewable energy InvIT in India. The proceeds of the issuance will primarily be utilised in refinancing of existing debt at the SPV level as well as funding of holding companies and the SPVs.

The transaction involved multiple rounds of negotiations to successfully negotiate the InvIT's rights in the debenture documents. Owing to the distinct structure of the transaction, the team had to account for various issues and challenges faced by the parties while working towards accommodating their interests and completing the issue within the stringent timelines.

The Team:

The transaction team was led by Partner Karan Mitroo, with assistance from Partner Purvi Dabbiru and Associate Pragya Verma.