NTPC acquires Jhabua Power Limited through corporate insolvency resolution route

NTPC Limited has successfully acquired Jhabua Power Limited (JPL) for Rs 9.25 billion through a corporate insolvency resolution process initiated by the National Company Law Tribunal (NCLT), Kolkata. This is the first acquisition by NTPC through this route. It is a unique resolution plan, whereby NTPC has offered a 50 per cent equity stake in JPL to the se­cu­red financial creditors, while NTPC will retain all management rights and control over the company. JPL has an operational 600 MW TPP in Se­o­ni, Madhya Pradesh. Post-acquisition, NTPC’s total installed capacity is 70,064 MW. In another development, NTPC has announced the merger of its wholly owned subsidiaries, Nabinagar Power Generating Com­pany Limited and Kanti Bijlee Utpadan Nigam Limited, with itself.