The latest move by Brookfield to buy the loss-making East West Pipeline Ltd (EWPL) for Rs 13,000 crore from Reliance Industries Chairman Mukesh Ambani will help address investor concerns over related party transactions, Morgan Stanley has said.
“The pipeline sale by promoters should reduce investor concerns over related-party transactions. While RIL’s cashflows will be negatively impacted near term, the pipeline usage agreement provides reasonable flexibility for RIL to manage its gas requirements and also upside to India’s gas story,” the investment banking and financial services firm said in a note.
RIL had on Thursday announced the pipeline, earlier known as Reliance Gas Transportation Infrastructure Ltd, Read More
Latest posts by ET Energy World (see all)
- BP commits $100 million to fund new emissions reduction projects - March 26, 2019
- Moody’s says Indian oil companies to continue with high dividend payments - March 26, 2019
- Higher demand pushed energy-related emissions to historic high in 2018: IEA - March 26, 2019