NTPC taps CPPIB, TAQA to sell green arm stakeNTPC - 165 Change: 1.90 (1.17 %)
News: Global utilities and energy companies, pension and infrastructure-focussed funds are among those that have been approached by NTPC as it starts fund raising for its clean energy platform. NTPC’s plans—to first carve out its renewable energy assets into a special purpose vehicle and sell a stake subsequently to raise funds—will form part of the government’s National Monetisation Pipeline (NMP). Preliminary discussions have been held with Abu Dhabi-listed TAQA, Malaysia’s state-owned Petronas, Canadian pension fund CPP Investment Board (CPPIB), Brookfield, KKR & Company and Copenhagen Infrastructure Partners among others to gauge their interest.
View: This came as a positive for NTPC that told the stock exchanges last month that it plans to hive off 15 of its renewable energy projects into NTPC Green Energy Ltd, a newly formed entity. The assets being separated have a book value ofRs 10,000 crore. Additionally, its 100% stake in NTPC Renewable Energy Ltd is also being transferred to NTPC Green Energy, which will now be the main vehicle for its green energy ambitions.