Tata Power’s subsidiary TPIPL completes sale of its 50% stake in OTP Geothermal


Tata Power International Pte. Limited (TPIPL), a wholly owned subsidiary of the Company in Singapore, had signed an agreement for sale of its 50% stake in OTP Geothermal Pte. Ltd., Singapore (OTP) to KS Orka Renewables Pte. Ltd. (KS Orka) in April 2016. TPIPL has now completed the sale of its stake in OTP to KS Orka.

OTP, a 50:50 joint venture with Origin Energy Limited, holds a 95 per cent interest in Indonesia’s PT Sorik Marapi Geothermal Power (SMGP). SMGP is currently pursuing development of 240 MW Sorik Marapi Geothermal Power Project in North Sumatra.

The Company has significant investments in Indonesia ar:id remains committed to development of Indonesian power and energy sector. The Company’s other investments in Indonesia include investments in PT Kaltim Prima Coal, PT Arutmin Indonesia and PT Baramulti Suksessarana Tbk. The Company also continues to explore thermal and renewable power project opportunities within the Independent Power Producer (IPP) programs the Government of Indonesia. The divestment of the Company’s interest in OTP is consistent with the Company’s strategy to constantly review its businesses and restructure, as required, to deliver long term value to shareholders.

Stock View:

Tata Power Company Ltd is currently trading at Rs. 77.05, up by Rs. 0.55 or 0.72% from its previous closing of Rs. 76.5 on the BSE.

The scrip opened at Rs. 76.9 and has touched a high and low of Rs. 77.2 and Rs. 76.6 respectively. So far 31203(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 20690.41 crore.

The BSE group ‘A’ stock of face value Rs. 1 has touched a 52 week high of Rs. 77.95 on 13-Jun-2016 and a 52 week low of Rs. 55 on 12-Feb-2016. Last one week high and low of the scrip stood at Rs. 77 and Rs. 73.3 respectively.

The promoters holding in the company stood at 33.02 % while Institutions and Non-Institutions held 50.66 % and 16.32 % respectively.