Tata Power gains after announcing plans to buy 50% stake in Zambia's Itezhi Tezhi Power

Tata Power Company rose 0.52% to Rs 77.60 at 9:25 IST on BSE after the company has entered into a share purchase agreement with Tata Africa Holdings (SA) (Pty) Ltd. for formalizing the acquisition of their 50% shareholding in Itezhi Tezhi Power.

The announcement was made after market hours yesterday, 25 March 2015.

Meanwhile, the S&P BSE Sensex was down 169.88 points or 0.6% at 27,941.95.

On BSE, so far 34,555 shares were traded in the counter as against average daily volume of 4.71 lakh shares in the past two weeks.

The stock hit a high of Rs 77.75 and a low of Rs 77.20 so far during the day.

Tata Power said that Itezhi Tezhi Power Corporation Ltd (ITPC), a 50-50 joint venture with the Zambian parastatal utility ZESCO (ZESCO), is a special purpose vehicle which has been setup to build and operate a 120 megawatts (MW) hydro power plant in Itezhi Tezhi district in Zambia. ITPC has a 25 year power purchase agreement with ZESCO and is expected to commission the power plant by Q4 2015.

The closing will be subject to various approvals and consents as required under applicable law.

Powered by Capital Market - Live News