Shares of Power Grid Corporation of India Ltd. are trading flat after reaching a day’s high of Rs 342.65 on 20th August. The company announced on Monday that it had acquired Rajasthan IV E Power Transmission Ltd. (RIVEPTL) for Rs 18.54 crore, following its selection as the successful bidder under tariff-based competitive bidding.

This acquisition enables the company to establish and operate the “Transmission System for Evacuation of Power from Rajasthan REZ Phase IV (Part 2: 5.5 GW) (Jaisalmer/Barmer Complex)” on a Build, Own, Operate, and Transfer (BOOT) basis.

RIVEPTL is an SPV incorporated on 14th October 2023 by REC Power Development and Consultancy Limited for the purposes of this project.

This project involves setting up a new 765 kV substation at Rishabhdeo, Rajasthan, and developing 765 kV D/C transmission lines with bay extensions at existing substations in Rajasthan and Madhya Pradesh.

It supports the company’s goal of strengthening the national grid infrastructure and renewable energy zones. RIVEPTL will next seek regulatory approvals from CERC for a transmission license and the adoption of transmission charges.

The acquisition deal involves 50,000 equity shares of the company with a nominal value of Rs 10 each, along with assets and liabilities of the company as of the acquisition date.

The final price is subject to adjustment based on RIVEPTL’s audited accounts.

At 12:58 PM, the shares of Power Grid Corp. were trading 0.088% higher at Rs 340.60 on NSE.

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