Linde India Limited board approves capex to source renewable power

The Board of Directors of Linde India Limited has at its meeting held on 15 December 2021, approved a proposal for aggregate capital expenditure of Rs.287 million for sourcing of renewable power (solar/wind) for the merchant Air Separation Units owned/operated by Linde India Ltd. at Taloja (Maharashtra) and Dahej (Gujarat) and the under-construction air separation plant in Sri City (Andhra Pradesh). In line with the above, Linde India Ltd. will be entering into joint venture agreements with the identified solar power generating companies through the Special Purpose Vehicles (SPVs) to be set up in due course to qualify as captive consumer of the power. The Board has approved Linde India's plan to acquire equity in the joint venture SPVs up to a limit of 26% with solar/wind power generators for supply of renewable power to the aforesaid merchant air separation units. On the formation of the SPVs, the Company will be signing the Power Purchase Agreements and Share Subscription and Shareholder Agreements with them, after which, the Company will acquire the equity in the SPVs as per the approval of the Board as aforesaid. This will help replace high-cost tariff power from Grid with lower cost and "green" solar power on a long-term basis.

Shares of Linde India Limited was last trading in BSE at Rs. 2441.55 as compared to the previous close of Rs. 2494.60. The total number of shares traded during the day was 7587 in over 1847 trades.

The stock hit an intraday high of Rs. 2525.00 and intraday low of 2427.00. The net turnover during the day was Rs. 18671235.00.

Source : Equity Bulls

Keywords

LindeIndia INE473A01011 Capex RenewablePower SolarPower WindPower