NTPC signs pact to buy 3 projects in Bihar1 min read . Updated: 15 May 2018, 05:51 PM IST
NTPC signs an agreement 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
New Delhi: NTPC Ltd on Tuesday 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 a 100% 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%) in Kanti Bijlee Utpadan Nigam Ltd (KBUNL) and (50% 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% and 27.36% 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.