Torrent Power's Strategic Acquisition: A Significant Leap in Power Capacity

Torrent Power has struck a definitive agreement with L&T Power Development to acquire Nabha Power for an enterprise value of Rs 6,889 crore. This acquisition is set to increase Torrent Power's operational capacity from 5 GW to 6.4 GW.

Upon completion, the addition of Nabha Power will not only bring a well-established operating asset to Torrent's portfolio but also enhance its revenue and profitability from the outset. Chairman Samir Mehta emphasized the value uplift and operational track record associated with the acquisition.

L&T's decision to divest Nabha Power aligns with its strategic objectives of refocusing on core businesses. Nabha Power, operational since 2014, runs a 1,400 MW thermal power plant in Punjab and has reported significant revenues and an impressive plant availability factor.