Government-Owned Power Trader Divests 100 per cent Stake of Renewable Energy Unit to ONGC Green for Rs 1,179 Crore
The stock gave returns of negative 10 per cent in last 1 year and 333 per cent in last 5 years.
PTC India Ltd has successfully completed the sale of its 100 per cent stake in PTC Energy Limited (PEL) to ONGC Green Limited (OGL). The deal, valued at Rs 1,179 crore, was finalised after receiving the final payment of Rs 254 crore on March 19, 2025.
Previously, PTC India received an initial payment of Rs 925 crore on March 4, 2025. The total transaction marks a significant milestone for PTC India, as PEL contributed around 2 per cent of the company’s total revenue and 14.6 per cent of its net worth in the last financial year (FY24).
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ONGC Green Limited, which is not part of PTC India’s promoter group, acquired PEL as part of its green energy expansion strategy. The deal was executed through a Share Purchase Agreement, and the transaction does not fall under related-party transactions.
This acquisition aligns with ONGC's strategic objectives to diversify its energy portfolio and reduce its carbon footprint. OGL aims to achieve a 10 GW renewable energy portfolio for ONGC by 2030, with a net-zero target for Scope 1 and Scope 2 emissions by 2038. The acquisition was completed on 4th March 2025, with no related party transactions involved.
In the Quarterly Results of Dec-24, the revenue stood at Rs 3,420.81 crore, reflecting a YoY decline of 1.46 per cent from Rs 3,471.65 crore in Dec-23. The net profit for Dec-24 was Rs 157.60 crore, showing a YoY increase of 98.46 per cent from Rs 79.41 crore in Dec-23. The revenue for Dec-23 was Rs 3,471.65 crore, and the net profit stood at Rs 79.41 crore.
PTC India Ltd was established in 1999 by the Government of India as a Public-Private Initiative and is in the power trading business. It is promoted by Power Grid Corporation of India Limited (PGCIL), NTPC Limited (NTPC), Power Finance Corporation Limited (PFC) and NHPC Limited (NHPC).
On Thursday, shares of PTC India Ltd jumped by 1.5 per cent to Rs 160 per share from its previous closing of Rs 157.66 per share. The stock gave returns of negative 10 per cent in last 1 year and 333 per cent in last 5 years. The company has been maintaining a healthy dividend payout of 48.6 per cent. Investors should keep an eye on this Small-Cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.