Tata Power plans to create InvIT for renewables business; shares rise over 2%
NEW DELHI: Tata Power plans to create InvIT for renewables business; shares rise over 2% – Tata Power has planned to line up an Infrastructure investment company (InvIT) for its renewable energy assets, a move which will reduce its debt further.
The Tata Group company has filed an application with market regulator Sebi (Securities and Exchange Board of India) for an in-principal approval for creation of an InvIT their due diligence of the assets proposed to be transferred to InvIT and that we expect to sign the binding documents in next few months. Necessary board and shareholder approvals are going to be sought on finalization of the binding agreements,” Tata Power mentioned in an exchange filing on Thursday.
To expand its renewable business as laid call at its FY25 strategy the organization is progressing and this creation of the InvIT will provide an appropriate structure on fixing of the InvIT as per the initial laid timelines and is confident of completing this transaction during this fiscal year ,” the organization added.
Shares of Tata Power settled 2.27 per cent higher at Rs 54.15 on Friday.
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