Torrent Power to acquire 51% in Dadra and Nagar Haveli and Daman and Diu Power Distribution Corporation Limited

Torrent Power Limited has entered into a Share Purchase Agreement (SPA) and Shareholders Agreement (SHA) with Hon'ble Administrator of the Union Territory of Dadra and Nagar Haveli and Daman and Diu (Holding Entity) and Dadra and Nagar Haveli and Daman and Diu Power Distribution Corporation Limited (the SPV) for purchase of 51% Equity Share Capital of the SPV from the Holding Entity. The SPV will be responsible for distribution and retail supply of electricity and holds distribution license in the Union Territory of Dadra and Nagar Haveli and Daman and Diu (DNH & DD).

This acquisition will significantly strengthen Torrent's position as the leading Power Distribution Company in the country with a presence in 12 cities spread across 3 States and 1 Union Territory. With the addition of DNH & DD, Torrent will distribute nearly 24 billion units of electricity per annum to over 3.85 million customers and cater a peak demand of over 5,000 MW.

Torrent Power, the integrated power utility of the diversified Torrent Group with group revenues of Rs. 20,500 Cr. (approx. USD 2.7 billion) and Market Cap of Rs. 71,000 Cr. (approx. USD 9.3 billion), is one of the largest companies in the Country's power sector with presence across the entire power value chain of generation, transmission and distribution.

Shares of Torrent Power Limited was last trading in BSE at Rs. 477.75 as compared to the previous close of Rs. 484.85. The total number of shares traded during the day was 81112 in over 821 trades.

The stock hit an intraday high of Rs. 488.95 and intraday low of 474.85. The net turnover during the day was Rs. 39002409.00.

Source : Equity Bulls

Keywords

TorrentPower INE813H01021 SPV Acquisition PowerDistribution ElectricitySupply