Torrent Power to acquire Solapur Transmission from PFC Consulting, shares up nearly 3%

Shares of Torrent Power Limited gained nearly 3% on Thursday after the company announced entering into a share purchase agreement (SPA) to acquire Solapur Transmission Limited.

In a filing to the stock exchanges on March 20, Torrent Power said that it will acquire 100% equity share capital in Solapur Transmission Limited, a special purpose vehicle (SPV), from PFC Consulting Limited through the share purchase agreement.

Under this acquisition, which aligns with Torrent Power’s focus area of transmission business, Solapur Transmission Limited will establish a transmission system for evacuation of power from RE projects in Solapur (1500 MW) SEZ in Maharashtra.

After the announcement, shares of Torrent Power gained as much as 2.95% to a high of ₹1,256 apiece on NSE.

Solapur Transmission Limited was incorporated and registered with the Registrar of Companies Delhi and Haryana on December 14, 2023, and is yet to commence its business operations.

Last week, Torrent Power announced that it received a Letter of Award for the establishment of 300 MW (RE Power) Grid-Connected Wind Solar Hybrid Projects from Torrent Power Limited-Distribution unit. The company informed the stock exchanges that the order was worth ₹3,650 crore.

Earlier this month, Torrent Power bagged a solar project worth ₹1,540 crore from the Maharashtra State Electricity Distribution Co. Limited (MSEDCL) for the supply of 306 MW Solar power as part of the Mukhya Mantri Saur Krushi Vahini Yojana 2.0 scheme. The project was a part of feeder-level solarisation under the PM-KUSUM Scheme.

Shares of Torrent Power were trading 1.5% higher at ₹1,238.8 apiece on NSE at 2:10 pm.