NTPC inks pact to acquire three power projects in Bihar
May 16, 2018
NTPC today inked a pact with Bihar and its power utilities to acquire their entire stake in two joint ventures at Nabinagar and Kanti, and to buy Barauni thermal plant.
The transactions would enable NTPC to have 100 per cent stake in Nabinagar and Kanti JV projects, which is part the company's broad objective of acquiring state-owned generation units across the country.
The company has not disclosed consideration for these acquisitions under the MoU.The MoU envisages transfer of Barauni Thermal Power Station and transfer of the BSPGCL equity (27.36 per cent) in Kanti Bijlee Utpadan Nigam Ltd (KBUNL) and (50 per cent equity) in Nabinagar Power Generating Company, to NTPC.
The Nabinagar Power Generating Company (NPGC) is a 50:50 JV of NTPC and BSPGCL
KBUNL is a subsidiary of NTPC in JV with BSPGCL. Currently NTPC and BSPGCL own 72.64 per cent and 27.36 per cent equity holding in KBUNL, respectively.
Post transaction, the Barauni plant will become part of NTPC portfolio and KBUNL and NPGC will become wholly-owned subsidiaries of NTPC, it added.