Jaiprakash Power Ventures posts Rs 196 cr loss for Apr-Jun

Jaiprakash Power Ventures today reported a standalone net loss of Rs 196.16 crore for the quarter ended June 30, 2016.
The company had reported a net profit of Rs 66.96 crore in the year-ago period, Jaiprakash Power Ventures said in a filing to BSE.
The net sales of the company April-June quarter were at Rs 750.41 crore against that of Rs 1,207.40 crore in the year-ago period, the filing said.
The figures of the current quarter/period are not comparable with figures of the corresponding quarter/period in the previous year. The figures for the previous period/quarter have been regrouped/reclassified wherever necessary, the company said.

The results during the current quarter have been impacted on account of "....Non availability of transmission corridor for power tied up on short term basis and increase in coal cost at Amelia North coal mine due to increased stripped ratio...And increase in clean energy cess."
The company said that the average sale of merchant power has come down to Rs 2.83 per unit in the current quarter as compared to Rs 3.07 per unit in the corresponding previous quarter and the generation of Bina thermal power plant has been adversely affected due to backdwon instructions from state load despatch center from time to time because of lower demand of power.

The company in another filing said that its board has accepted the recommendations of the committee of directors as well as the audit committee to hive off and transfer of 500 mw Bina thermal power plant as a going concern basis to its subsidiary Bina Power Supply Ltd (BPSL) through the scheme of arrangement approved by the board subject to all requisite regulatory and other approvals.

The board approved the securities purchase agreement with JSW Energy Ltd "regarding the sale of entire securities...Of BPSL...To JSW subject to satisfaction of conditions precedent including the scheme of arrangement becoming effective and all such regulatory and other approvals as may be required."

The consideration to be received from JSW is linked to a base enterprise value as on September 1, 2015 of Rs 2,700 crore for sale of 100 per securities of BPSL subject to mutually agreed adjustments.
The requisite shareholders approval for the sale of securities shall be obtained.