Reliance Power divests holding in Tilaiya UMPP SPV for Rs 113 crore

May 17, 2018 04:09 PM

Punjab News Express
MUMBAI: Reliance Power has divested its entire holding in Jharkhand Integrated Power Limited (JIPL) to Jharkhand Urja Vikas Nigam Ltd for Rs 112.64 crore, a regulatory filing by the company said here on Thursday.

"The company has transferred its entire holding of 1,49,900 equity shares of Rs 10 each, aggregating to Rs 1,499,000 held in Jharkhand Integrated Power Limited, a special purpose vehicle created for development of Tilaiya UMPP, to Jharkhand Urja Vikas Nigam Limited, the lead procurer, acting on behalf of procurers of Tilaiya UMPP," the regulatory filing said.

According to sources, Reliance Power also got the bank guarantees of Rs 600 crore released from the procurers.

Reliance Power had announced the termination of the power purchase agreement (PPA) of its 3,960 MW Tilaiya Ultra Mega Power Project (UMPP) in Hazaribagh district in Jharkhand in April 2015.

Based on tariff-based bidding managed by Power Finance Corporation (PFC), Reliance Power was awarded the Tilaiya UMPP in February 2009. JIPL, the Special Purpose Vehicle (SPV) for implementing the project, was handed over to Reliance Power by PFC in August 2009. JIPL had signed a PPA with 18 power off-takers in 10 states for 25 years.

Reliance Power closed the day's trading at Rs 35.60 per share, up 6.75 per cent in the BSE at 3.48 pm.

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