Friday, Mar 29 2024 | Time 04:00 Hrs(IST)
image
Business Economy


Tripura moves to acquire 26 per cent equity share in OTPC

Agartala, Nov 9 (UNI) Tripura government has decided to acquire additional 26 per cent equity share of 726.6 MW gas based combine cycle ONGC Tripura Power Company (OTPC) in Palatana of South Tripura adding to its existing share of 0.5 per cent.
The council of ministers has directed to constitute negotiating team officers with representatives each from finance, power and industries and commerce for initiating the process of discussion.
Official sources here today said that Ministry of Petroleum and Natural Gas last week intimated the state government of options for acquisition of additional equity share of 26 per cent, as the present share holder IL&FS is off loading its equity from the project. The ONGC has 50 per cent share in Rs 3598 Cr power project along with 26 per cent holding of IL&FS and remaining 23.5 per cent by IDFC.
According to report, IL&FS is all set to off load its 26 per cent equity share having capital value of Rs 291.20 Cr calculating the face value of Rs 10 each. Since, ONGC Power Company is a profit making venture, IL&FS expects some premium over the face value and fair value of the 26 per cent equity share is likely to be around Rs 300 Cr.
“The state government is excited to clutch the option of equity share in the company, which the previous government could not succeed. The left front government had also earlier intended to its stake from 0.5 per cent to 10.5 per cent and in principle it was approved by the government in March 2011 but it had not materialized for unknown reason,” said a senior official of the state government.
However, as soon as the proposal of additional share holding from such a profit making power company arised, the entire cabinet took special interest to procure the entire stake and immediately the process of negotiation with IL&FS started besides managing the fund for paying total capital value, the officials stated.
The advantage of acquiring increased share holding would provide immediate access to higher profits of the company through dividends besides, obtaining better position to influence the decision making process of the company and would also be financially beneficial for the state in long run, officials added.
UNI BB KK
More News
India's core sector output rises to three-month high of 6 7 pc in February

India's core sector output rises to three-month high of 6 7 pc in February

28 Mar 2024 | 7:51 PM

New Delhi, Mar 28 (UNI) Driven primarily by coal, cement and crude oil production, India's core sector comprising of eight key infrastructure components grew 6.7% year-on-year in February 2024, as per data released by Ministry of Commerce and Industry on Thursday.

see more..

Honda Motorcycle & Scooter India achieves historic 6 cr domestic sales milestone

28 Mar 2024 | 7:19 PM

Mumbai, Mar 28 (UNI) Honda Motorcycle & Scooter India (HMSI) announced on Thursday that it has accomplished a historic achievement of 6 crore domestic sales in India. Honda ventured into the Indian market with its first two-wheeler, the Activa, in 2001.

see more..

28 Mar 2024 | 5:28 PM

UNI NK AKS.

see more..
Luminous enters solar panel mfg; 250 MW facility launched with initial investment of Rs 120 cr

Luminous enters solar panel mfg; 250 MW facility launched with initial investment of Rs 120 cr

28 Mar 2024 | 5:16 PM

Rudrapur, Mar 28 (UNI) From power Back-up solutions to Batteries and Solar applications, Luminous Power Technologies on Thursday announced the launch of its state-of-the-art solar panel manufacturing facility here.

see more..

Kottayam-Kochi Rubber Market rates

28 Mar 2024 | 5:04 PM

Kottayam, Mar 28 (UNI) Following were the Rubber Market rates announced by the Rubber Board here on Thursday per quintal.

see more..
image