Cyril Amarchand Mangaldas Advises Alpha Alternatives In Stake and SPV Acquisition Deal With Dilip Buildcon

Cyril Amarchand Mangaldas advises Alpha Alternatives in acquisition of stakes in Dilip Buildcon Limited and SPVs of Dilip Buildcon Limited. Dilip Buildcon Limited ("DBL”) and our client Alpha Alternatives (“AA”) have entered a long-term strategic partnership for construction, financing, and monetization of road projects through an InvIT platform.

As part of partnership, Alpha Alternatives engaged in the following transactional agreement.

(a) acquisition of 26% stake in 3 road SPVs (i) Dodaballapur Hoskote Highways Limited; (ii) Dhrol Bhadra Highways Limited; and (iii) Repallewada Highways Limited (collectively, "SPVs") from DBL ("SPV Investment”). The deal documents were executed on March 30, 2024, and closing was done March 30, 2024; and (b) subscription of warrants (“Warrants”) in DBL for an aggregate amount of up to INR 530 Crores by way of a preferential issue on a private placement basis, which would result in 9.99% stake in DBL on a fully diluted basis. The preferential issue was approved by the shareholders of DBL through a special resolution and the warrants were allotted to the AA by DBL on December 21, 2023 ("Warrants Investment”).

CAM played a vital role by providing strategic guidance to Alpha Alternatives on the terms and conditions for subscribing to the Warrants of DBL.

The General Corporate and Project & Project Finance team of Cyril Amarchand Mangaldas advised on the transaction. The transaction team was led by Anchal Dhir, Partner; Ajay Sawhney, Partner; & Aditi Misra, Partner; with support from Shubham Rastogi, Principal Associate; Kanhai Srivastava, Senior Associate; Ragini Agarwal, Associate; Samraddhi Shetty, Associate; Krish Vadodaria, Associate; Shravani Shendye, Associate; Aeruva Akash, Associate; Isha Choudhary, Associate; Kartik Sharma, Associate; Satwik Anand, Associate; and Yathansh Joshi, Associate.

Team led by Sreetama Sen, Partner; with support from Mohak Thukral, Associate; Siddharth Rana, Sanya Rizvi, Associate; assisted in the corporate diligence aspects for the SPVs as well as the closing formalities.

Kranti Mohan, Partner& Head - REITs and InvITs; Janhavi Seksaria, Partner; with support from Saloni Tyagi, Senior Associate; advised on transaction documents keeping in view future formation of InvIT platform.

Avaantika Kakkar, Partner & Head Competition Law; Vijay Chauhan, Partner; & Dhruv Rajain, Partner; with support from Rajat Sharma, Associate; and Srishti Chhabra, Associate; advised on Competition Law related aspects of the transaction.

The transaction was signed on 30th March, 2024 and closing was done March 30, 2024