Bharti Airtel acquires 5.20% stake in Avaada MHBuldhana

The object and effect of the acquisition is to own and operate the Captive Power Plant and to comply with regulatory requirement for captive power plants under the provisions of Electricity Act' 2003 and Indian Electricity Rules' 2005.

Nov 23, 2020 04:11 IST India Infoline News Service

Bharti Airtel Limited informed the exchanges that it has entered into an agreement for acquisition of equity shares in Avaada MHBuldhana Private Limited, a special purpose vehicle formed for the purpose of owning and operating the Captive Power Plant, in terms of the regulatory requirement of captive power consumption under electricity laws.

The object and effect of the acquisition is to own and operate the Captive Power Plant and to comply with regulatory requirement for captive power plants under the provisions of Electricity Act' 2003 and Indian Electricity Rules' 2005.

The cost of acquisition or the price at which the shares have been acquired is Rs45,500,000 in aggregate for acquisition/subscription of  4,550,000 (5.20%) equity shares of Rs. 10/- each in tranches. 

Avaada MHBuldhana Private Limited, is a Group Company of Avaada Energy Private Limited , AEPL is a pioneer of Indian solar industry. An early entrant, through its associate companies, the organization had developed a portfolio of over 1 GW solar and wind projects across the country and the first Independent Power producer (IPP) to cross 1 GW installed capacity milestone in India. Along the way they were able to attract investors into renewable portfolio from the likes of ADB, FMO - France, Proparco - Netherland and DEG - Germany as a testament to quality. With an installed base of 101 0MWp and pipeline of 2800 MWp, holds one of the largest renewable energy portfolios in India. Turnover of Avaada MHBuldhana Private Limited as on March 31, 2020 is NIL.

Bharti Airtel settled Rs477.05 per piece down by Rs6.45 or 1.33% from its previous closing of Rs483.50 on the BSE.

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