NTPC plans to sell PTC stake, hires consultant

[ad_1]

NEW DELHI : State-run power major NTPC Ltd is planning to sell its stake in India’s largest power trading firm PTC India Ltd, two people aware of the matter said.

India’s largest power generation firm has appointed a consultant for the transaction, the people cited above said on the condition of anonymity. The development comes at a time several independent directors have stepped down from PTC India’s board alleging mismanagement in the company and its subsidiary PTC India Financial Services (PFS).

In its annual report for FY22, NTPC said that as PTC India was formed by a directive from the Government of India, approval of the Centre was required for the exit.

“The public sector major has been considering an exit from the power trading company, but it would be a major market-moving decision; so, the company has been cautious and no concrete decision has been taken so far,” one of the two people cited above said.

The PTC exit also is part of NTPC’s overall plan to divest its stake in its subsidiaries and joint ventures,the second person said.

On 6 September, Mint reported that the state-run power major plans to divest its stake in a few subsidiaries and joint ventures through private placements and initial public offerings (IPO) as part of its asset monetization process.

The company plans to raise 10,000 crore in a period of three years through the process.

Catch all the Corporate news and Updates on Live Mint.
Download The Mint News App to get Daily Market Updates & Live Business News.

More
Less

[ad_2]

Source link