OTPC May Get ONGC’s Backing…

Now defunct, Infrastructure Leasing & Financial Services Ltd’s (IL&FS) which has a 26% stake in ONGC Tripura Power Co. Ltd (OTPC), which runs the Palatana power project in Tripura.

If sources are to be believed ONGC, Global Infrastructure Partners (GIP) and the Tripura government are seeking to buy this stake.

The stakeholders have evinced interest in acquiring the stake by leveraging the share-holder pact, which states that IL&FS should offload its share to stakeholders under distress conditions at a 20% discount on the ₹10 share face value.

The stake of IL&FS is to be proportionately divided among the shareholders.

Oil and Natural Gas Corp. Ltd has a 50% stake in the project, IL&FS holds 26%, and GIP has a 23.5% stake, with the Tripura government holding a 0.5% stake.

The 726.6 megawatt (MW) project is an integral part of the government’s efforts to develop infrastructure in the North-East and has been touted as the single largest investment in the region.

OTPC is a profit-making firm and pays dividends to its stakeholders.

This is an Agency News-Feed