Power Grid Corp acquires Rajasthan IV E Power Transmission for ₹18.54 crore – EQ
In Short – POWERGRID, the state-owned Power Grid Corporation of India Ltd, announced on August 19 its acquisition of Rajasthan IV E Power Transmission Ltd (RIVEPTL) for ₹18.54 crore. This acquisition follows POWERGRID’s successful bid under the Tariff-Based Competitive Bidding process, further expanding its footprint in the power transmission sector.
In Detail – State-owned Power Grid Corporation of India Ltd (POWERGRID) on Monday (August 19) said it has acquired Rajasthan IV E Power Transmission Ltd (RIVEPTL) for ₹18.54 crore following its selection as the successful bidder under Tariff-Based Competitive Bidding.
The acquisition allows POWERGRID to establish and operate the “Transmission System for Evacuation of Power from Rajasthan REZ Phase IV (Part 2: 5.5 GW) (Jaisalmer/Barmer Complex): Part E” on a Build, Own, Operate, and Transfer (BOOT) basis.
RIVEPTL, a Special Purpose Vehicle (SPV) incorporated on October 14, 2023, by the Bid Process Coordinator, REC Power Development and Consultancy Limited, was specifically formed for this project.
The project includes the establishment of a new 765 kV substation at Rishabhdeo in Rajasthan, along with the development of 765 kV D/C transmission lines and associated bay extensions at existing substations in Rajasthan and Madhya Pradesh.
The acquisition aligns with POWERGRID’s core business of power transmission and supports the company’s objective to strengthen the national grid infrastructure, particularly for renewable energy zones (REZ).
Following the acquisition, RIVEPTL will seek further regulatory approvals from the Central Electricity Regulatory Commission (CERC) for the grant of a transmission license and the adoption of transmission charges.
The acquisition deal includes 50,000 equity shares valued at ₹10 each, along with the assets and liabilities of the company as of the acquisition date. However, the final acquisition price is subject to adjustment based on RIVEPTL’s audited accounts.
Shares of Power Grid Corporation of India Ltd ended at ₹340.25, up by ₹1.45, or 0.43% on the BSE.
