Reliance Infrastructure Ltd. said it filed an arbitration claim of 134 billion rupees ($1.7 billion) in relation to a deal to sell its Mumbai power-distribution business to Adani Transmission Ltd.
Reliance cited a breach in the terms of a December 2017 agreement, and filed its statement of claim before the Mumbai Centre for International Arbitration, according to a stock exchange filing. It did not elaborate on the dispute.
“The financial implication cannot be ascertained and is contingent upon the final outcome of arbitration and subsequent legal challenges,” Reliance said.
Adani Group in a media statement said, Reliance Infrastructure Ltd (R-Infra), part of the Reliance Anil Dhirubhai Ambani Group, initiated arbitration on one specific dispute under the Share Purchase Agreement (SPA) in December 2021.
This was a claim for Rs 500 crore and following due process, ATL/Adani Electricity rejected the R-Infra claim, said the media statement.
ATL/Adani Electricity is following the due process laid out under the SPA for dispute resolution and will respond with facts and present its own claims against R-Infra in the arbitration proceedings, added the Adani Group’s statement.
–With assistance from Ashutosh Joshi.
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