Reliance Infrastructure Ltd has filed an arbitration claim of Rs 13,400 crore against Adani Transmission Ltd for "breach of terms" in a deal to sell its Mumbai power distribution business.
Reliance Infrastructure said the arbitration claim, filed before the Mumbai Centre for International Arbitration (MCIA), is over what is described as the breach of terms of its December 2017 share purchase agreement with Adani Transmission related to the transfer of its Mumbai power distribution business.
"The financial implication cannot be ascertained and is contingent upon the final outcome of arbitration and subsequent legal challenges," the filing by Reliance Infrastructure Ltd said.
The Adani Group in 2017 had acquired Reliance Infra's (then Reliance Energy) Mumbai power business including generation, distribution and transmission, in a Rs 18,800-crore deal.
In 2017, Adani Group had acquired the Mumbai power business in a Rs 18,800-crore deal, under which RInfra had sold its energy business in the city, including generation, distribution and transmission to Adani Transmission.
The MCIA is a first-of-its-kind arbitral institution in India, established in a joint initiative between the domestic and international business and legal communities, according to a statement on its website.
Adani Transmission is India's largest private sector transmission and power distribution entity.
The deal was intended to help Reliance Infra retire its Rs 15,000 crore debt, leaving it with Rs 3,000 crore of surplus funds.
