Dilip Buildcon Share Price Up Over 5%; Divests 51% Stake in Mekhali Power Transmission to Alpha Alternatives

Dilip Buildcon Ltd (DBL) has signed agreements with Alpha Alternatives for the sale of its 51% stake in Mekhali Power Transmission Ltd (MPTL). The company announced the transaction on September 9, 2026, following the execution of definitive agreements on September 8, 2026. 

MPTL is the special purpose vehicle developing DBL’s under-construction power transmission project in Belagavi district, Karnataka. The project has an estimated total cost of around ₹2,171 crore. 

Power Transmission Project 

The project includes a 400 kV/220 kV sub-station at Mekhali and around 470 circuit kilometres of associated transmission lines. It is being developed under the build-own-operate-transfer (BOOT) model through the tariff-based competitive bidding route. 

The project is being developed under a Transmission Service Agreement signed with Karnataka Power Transmission Corporation Ltd (KPTCL) on May 30, 2026. KPTCL will be the offtaker for the asset during its operating life. 

Commercial operations are targeted around mid-2028, according to the company. 

Funding Structure 

The estimated equity requirement for the project is around ₹429 crore. DBL and Alpha Alternatives are funding this portion in a 51:49 ratio. 

Alpha Alternatives has agreed to acquire DBL’s entire 51% equity stake after the project is commissioned, in line with the applicable agreements. The proposed buyout is valued at an enterprise value of approximately ₹2,914 crore. 

The enterprise value is subject to pre-agreed closing adjustments and conditions precedent. 

DBL 2.0 

DBL said the transaction is part of its ‘DBL 2.0’ strategy, under which it is moving towards an asset-light, multi-asset infrastructure platform. The company said the stake sale will help with capital recycling and balance sheet deleveraging. 

The transaction is also part of the company’s existing partnership with Alpha Alternatives. 

Regulatory Approvals 

The transaction remains subject to the terms and conditions of the definitive agreements and receipt of the required regulatory approvals. 

JM Financial Ltd acted as the exclusive financial advisor to DBL. Khaitan & Co was its legal advisor, while AZB & Partners advised Alpha Alternatives. 

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Dilip Buildcon Share Price Performance 

As of September 10, 2026, 12:18 pm, Dilip Buildcon share price was trading at ₹413.35, a 5.18% increase from the previous closing price. 

Conclusion 

Alpha Alternatives will acquire DBL’s 51% stake in MPTL after the project is commissioned. The transmission project is expected to begin commercial operations around mid-2028. 

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