GAIL India To Acquire IL&FS's 26% Stake In ONGC Tripura Power Company, NCLT Approves Acquisition

The National Company Law Tribunal (NCLT) authorised state-owned fuel utility GAIL India's acquisition of Infrastructure Leasing and Financial Services' 26 per cent stake in ONGC Tripura Power Company (OTPC), based on a regulatory submitting by GAIL to the inventory exchanges.OTPC is a particular objective car between Oil and Natural Gas Corporation (ONGC), IL&FS Group and the Tripura authorities for establishing of a 726.6 MW mixed cycle fuel turbine (CCGT) thermal energy plant at Palatana in Tripura.ONGC holds 50 per cent stake within the ONGC Tripura Power Company, India - the mission that provides electrical energy to the northeastern states. The Tripura authorities holds 0.5 per cent whereas India Infrastructure Fund II holds the remaining 23.5 per cent stake.GAIL India mentioned in its assertion that the stake is being acquired from IL&FS Group firms - specifically IL&FS Energy Development Company Ltd (EDCL) and IL&FS Financial Services Ltd (IFIN). “The closing of the transaction is yet to take place and actions are being taken by IL&FS and GAIL for the same,” it added.The Tripura energy mission was arrange to make use of domestically produced pure fuel which was in any other case economically unviable to move fuel. The 726.6 MW mission is an integral a part of the federal government's efforts to enhance the infrastructure within the northeast area. It is taken into account to be the one largest funding within the area.The fuel to the Tripura mission is provided by ONGC's 55 km pipeline. GAIL is specializing in constructing a clear power portfolio and the acquisition is part of the plan.On Thursday, November 4, shares of GAIL India settled 0.70 per cent larger at Rs 151.50 apiece on the BSE.