H.G. Infra Engineering Limited has finalized the transfer of a 49% stake in its Wholly Owned Subsidiary (WOS), H.G. Khammam Devarapalle PKG-1 Private Limited, to Neo Infra Income Opportunities Fund. The total transaction value is ₹233.77 crore. This partial sale results in the entity ceasing to be a WOS but retaining its status as a subsidiary. The initial tranche of ₹81.69 Cr was received on March 30, 2026, with the remaining 51% stake sale pending completion by June 30, 2026.
Completion of Partial Stake Divestment
H.G. Infra Engineering Limited announced the conclusion of a significant transaction involving one of its subsidiaries, H.G. Khammam Devarapalle PKG-1 Private Limited. This event follows prior intimations made on August 13, 2025, and January 15, 2026.
The Company has successfully transferred 49% of its equity stake in the Special Purpose Vehicle (SPV) to Neo Infra Income Opportunities Fund. The remaining 51% stake transfer will proceed according to the agreed transaction terms.
Financial Impact and Status Change
The subsidiary, H.G. Khammam Devarapalle PKG-1 Private Limited, contributed 296.42 INR Crore to the reported revenue for the financial year ended March 31, 2025, representing 5.9% of the consolidated revenue. Its net worth as of that date stood at 110.64 INR Crore, accounting for 2.2% of the consolidated net worth.
The total consideration finalized for the sale of the SPV amounts to ₹233.77 crore.
Payment Tranches
- First Tranche: ₹81.69 Cr was received on March 30, 2026, corresponding to the 49% stake transfer.
- Second Tranche: The receipt for the balance 51% stake is expected on or before June 30, 2026.
Following this transfer, the entity ceases to be a Wholly Owned Subsidiary of the Company, although it continues to remain a subsidiary.
Details of the Acquirer
The buyer is identified as Neo Infra Income Opportunities Fund (“NIIOF”), which is a registered scheme under the Neo Credit Alternatives Investment Trust. This is a Category II Alternative Investment Fund managed by its investment manager, Neo Alternative Asset Managers Private Limited (formerly Neo Asset Management Private Limited), based in Mumbai, Maharashtra.
Compliance Confirmation
The agreement for the sale was executed on January 15, 2026, and the transaction concluded on March 30, 2026. The Company confirmed that:
- The Buyer does not belong to the promoter/promoter group.
- The transactions do not fall under related party transactions.
- The transaction is not a slump sale, making associated disclosures inapplicable.
- The disposal is not outside any Scheme of Arrangement.
Source: BSE
