business

GAIL acquires 26% IL&FS stake in Tripura power company

GAIL acquires 26% IL&FS stake in Tripura power company

NEW DELHI: State-owned gas utility GAIL on Tuesday acquired the 26% stake of now-defunct ILF&S (Infrastructure Leasing and Financial Services) in ONGC Tripura Power Company. OTPC is a SPV (special purpose vehicle) set up by state-run explorer ONGC to build a 726 MW gas-fired power plant at Palatana in Tripura. The IL&FS group and the Tripura government were partners in the SPV. ONGC holds 50% in the company that supplies electricity to the north-eastern states. Tripura government holds 0.5%, while India Infrastructure Fund II holds the balance 23.5% stake. The power plant was set up by ONGC to monetise a Tripura gas find, which had to be capped for years due to absence of evacuation infrastructure. GAIL and IL&FS Group successfully concluded the transaction wherein GAIL acquired an equity stake of 26% held by IL&FS Energy Development Company Ltd (IEDCL) and IL&FS Financial Services Ltd (IFIN), GAIL. .

business 2022-01-05 TOI