IL&FS has put its stake in ITPCL, one of the biggest assets under its portfolio, up for sale. EOI have been invited from interested bidders for the same by December 18, 2023.
IL&FS Tamil Nadu Power Company Limited (ITPCL) is a subsidiary of IL&FS Energy Development Company (IEDCL) Limited, an IL&FS Group company.
IL&FS group is looking to exit from this asset by divesting its complete shareholding in ITPCL - held via equity stake of 92.42 per cent owned by IEDCL and IL&FS and FCCDs of ₹240 Crore owned by IEDCL
As a part of IL&FS resolution framework, ITPCL has recently restructured its outstanding debt with lenders approval and is in process of filing NCLAT application for conversion from Amber to Green Category company.
The company also completed interim distribution of ₹2,150 crore to senior secured creditors on September 30. This disbursal reduced its outstanding debt by over ₹1,900 crores.
ITPCL was incorporated to set up an integrated 3,180 MW thermal power plant. Currently it operates 1,200 MW thermal power plant with two units of 600 MW each based at Cuddalore, Tamil Nadu (50 Km from Pondicherry).
The company has executed a long-term Power Purchase Agreement (PPA) for Unit 1 with Tamil Nadu Generation and Distribution Co. Ltd (TANGEDCO) for 15 years.
ITPCL also has a license to mine coal block in Upau, South Kalimantan, Indonesia, covering 5,908 hectares and is constructing a captive port, adjacent to the ITPCL power plant.