VRL Logistics Ltd signs MOU to sell wind power undertaking

VRL Logistics Ltd has signed Memorandum of Understanding (MOU) on l8th April 2022 with Ratna Cements (Yadwad) Limited (RCL) for transfer of the Wind Power (Sale of Power) undertaking along with all underlying assets and liabilities as a going concern on a slump sale basis.

The MOU is being entered in order to initiate necessary applications to obtain the requisite transfer approvals from various Government Departments, Government agencies and enable financial arrangements from Banks / Financial Institutions for the Buyer.

The agreed upon consideration for the said Slump Sale is Rs. 4,800 lakhs (Rupees four thousand eight hundred lakhs). The Buyer has placed a token advance of Rs.2 crores prior to signing of this MoU and has been provided a time of upto 31st July 2022 to achieve the completion of transaction with all required approvals along with the remittance of balance sales consideration.

The Wind Power Undertaking of the Company initially comprised of 34 wind turbine generators with capacity of 42.5 MW. As of date, the said projed comprises of 32 wind turbine generators with a capacity of 40 MW. These WTG'S are installed at Kappatgudda, District Gada& Karnataka State.

The management of the Company is looking to dispose offthis undertaklng considering the limited balance life of the said machines as also to focus on its Goods Transport business which is the major business segment of the Company.

Shares of VRL Logistics Limited was last trading in BSE at Rs. 516.35 as compared to the previous close of Rs. 514.60. The total number of shares traded during the day was 41413 in over 2350 trades.

The stock hit an intraday high of Rs. 533.05 and intraday low of 502.65. The net turnover during the day was Rs. 21708018.00.

Source : Equity Bulls

Keywords

VRLLogistics INE366I01010 WindPowerBusiness SlumpSale