NTPC inks pact to buy GAIL's 25.1% stake in Ratnagiri Gas and Power1 min read . Updated: 23 Feb 2021, 07:28 PM IST
After the transaction is complete, NTPC would have 86.49% stake in the RGPPL. Earlier in Jan, the company had announced acquiring 37.47% stake in RGPPL from its lenders
NEW DELHI : State-owned NTPC on Tuesday said it has signed a share purchase agreement to buy GAIL's 25.51% stake in Ratnagiri Gas and Power Pvt Ltd (RGPPL), which is commonly known as Dabhol project.
After the transaction is complete, NTPC would have 86.49% stake in the RGPPL. Earlier in January, the company had announced acquiring 37.47% stake in RGPPL from its lenders. Initially, NTPC and GAIL had 25.51% stake each in the Dabhol project.
"NTPC Ltd has executed ahare purchase agreements with GAIL (India) Ld on February 23, 2021, for purchase of GAIL's share (25.51%) in Ratnagiri Gas and Power Pvt Ltd (RGPPL) and sale of NTPC's share (14.82%) (on fully dilutive basis) in Konkan LNG Ltd (KLL)," according to a BSE filing.
It added that after transfer of shares as per the agreements, NTPC will exit from KLL, and NTPC's shareholding in RGPPL will stand at 86.49%.
RGPPL was incorporated on July 8, 2005, and is promoted by NTPC Ltd and GAIL (India) Ltd. The company was set up to take over and revive the assets of Dabhol Power Company Project.
RGPPL owns an integrated power generation and re-gasified LNG facility. The power station is one of the India's large gas-based combined cycle power station.