Ahmedabad-based Torrent Power Ltd, one of India’s largest power distribution companies, has entered into agreements to acquire 51% stakes in Dadra and Nagar Haveli and Daman and Diu Power Distribution Corporation Ltd. signed.
“Torrent Power has entered into a Share Purchase Agreement and Shareholders Agreement with the Union Territory Administrator of Dadra and Nagar Haveli and Daman and Diu (Holding Company) and Dadra and Nagar Haveli and Daman and Diu Power Distribution Corporation Limited (the “SPV). to purchase 51% of the SPV’s share capital from the holding company,” the company said in a media statement on Wednesday.
The agreement follows the bid the company won to privatize the power distribution business in the union’s territory.
According to the company’s statement, the special purpose vehicle (SPV) will be responsible for the distribution and retail supply of electricity and holds a distribution license in the Union Territory of DNH & DD.
The company supplies electricity in Ahmedabad, Gandhinagar and Surat in Gujarat, as well as Agra in Uttar Pradesh and Bhiwandi in Maharashtra. The recent acquisition of distribution rights strengthens Torrent’s position as the nation’s leading power distribution company, with presence in three states and one union territory.
“With the addition of DNH & DD, torrent will distribute nearly 24 billion units of electricity per year to over 3.85 million customers and meet a peak demand of over 5,000 MW,” the company statement said.
With a group turnover of ₹20,500 crore, the Torrent Group is one of the leading companies in the energy sector with a presence throughout the generation, transmission and distribution value chain.
Other major business areas of the group include pharmaceutical and municipal gas distribution for households, industry and automobiles in Gujarat, Tamil Nadu, Uttar Pradesh and Rajasthan.