State-owned Power Grid Corporation on Friday said its board has approved a proposal to acquire 74 per cent stake of the joint venture partner in Jaypee POWERGRID Ltd (JPL).
JPL is a joint venture between Power Grid and Jaiprakash Power Ventures Ltd.
Power Grid, however, did not disclose the value of the deal. Post acquisition of the 74 per cent stake, JPL would become a wholly-owned subsidiary of Power Grid, it said in a BSE filing.
The proposal for the acquisition was approved by the board of Power Grid in a meeting on February 11. As on December 31, 2020, JPL has paid-up capital of Rs 300 crore and net-worth of Rs 464.53 crore, Power Grid said in the filing.
The company said the acquisition would be completed within the current fiscal year.
JPL was incorporated to implement a specific transmission line associated with Karcham-Wangtoo HEP ( 1,000 MW).
Power Grid and Jaiprakash Power hold 26 per cent and 74 per cent stakes, respectively in JPL. JPL had turnover (sales revenue) of Rs 159.79 crore in 2019-20, Rs 159.22 crore in 2018-19 and Rs 165.05 crore in 2017-18.
