NTPC acquires Jhabua Power Limited through Corporate Insolvency Resolution route
Mumbai: State-run integrated power generation company NTPC has successfully acquired Jhabua Power Limited (JPL) through Corporate Insolvency Resolution Process initiated by National Company Law Tribunal, Kolkata, (NCLT).
This is the first acquisition of a power asset by NTPC through the NCLT route, a step forward in accomplishing NTPC’s long-term capacity targets.
On Monday (Sept 5), a Shareholders Agreement was signed between NTPC, JPL, and Secured Financial Creditors in New Delhi.
It is a unique Resolution Plan wherein NTPC has offered a 50 percent equity stake in JPL to the secured financial creditors while NTPC has retained all the management rights and control over the company.
Jhabua Power Limited (JPL) is having an operational thermal power capacity of 1 x 600 MW located in Seoni, Madhya Pradesh.
Post-acquisition of JPL, NTPC has become a 70+ GW company with a total installed capacity of 70,064 MW.
With a target set to achieve an installed capacity of 130 GW by 2032 from a diversified portfolio, NTPC has been exploring various opportunities for capacity expansion through both organic and inorganic routes.