Maharashtra's MSEDCL Strategizes for IPO Launch Post-Demerger

Maharashtra State Electricity Distribution Company (MSEDCL) aims to complete the demerger of its agriculture segment by April, setting the stage for a December IPO, according to Chairman Lokesh Chandra.

The demerger will see the agriculture business formed as a separate entity, removing its liabilities from MSEDCL's balance sheet, enabling debt reduction from Rs 96,000 crore to a more sustainable Rs 20,000 crore.

Government plans to reduce its stake by 10% in the IPO, which will fund infrastructure expansion. MSEDCL intends to raise renewable energy's share to 52% to reduce power costs and improve financial health, enhancing its attractiveness to investors.