Mr Akhil Gupta, CMD, Blackstone India, in response to Business Line queries said VPL investment is for long-term. Excerpts:

When do you expect Visa Power to be listed?

We typically hold our investments for a 5-7 year time horizon. It will be no different with VISA Power, where we intend to work with the management over the next several years to add as much value as we can, before looking to divest through IPO.

Blackstone has invested in the power sector globally and have helped other power generators grow. We will draw on our experience around the world and bring them to VISA and our other power portfolio companies in India. We will also help VISA and our other portfolio companies adopt global best practices during both construction and operation stages.

Where will VPL source coal from?

VPL has a captive coal mine allocation from the MoC in the Fatehpur East Coal Block — it is one of five joint venture partners, who have been allocated the mine. VPL's allocation is for 99 mt. It will require some additional coal for the Chhattisgarh project, for which it has applied for a linkage.

What is Blackstone's exposure in the local power sector?

Blackstone has three investments in the sector and we have made an investment of approximately $500 million. We have also invested $60 million in Monnet Power Corp Ltd and $300 million in Moser Baer.

Does Blackstone have an investment target for the power sector?

Investing in the development of infrastructure in India has long been a theme at Blackstone. India needs an investment of $200 billion in the power sector, of which $50 billion is required in equity, if the country is to continue its rapid economic growth. We, however, do not have targets for investment.

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