Tata Power cancels energy InvIT deal with Malaysia’s Petronas
POWER & RENEWABLE ENERGY

Tata Power cancels energy InvIT deal with Malaysia’s Petronas

Tata Power's subsidiary Tata Power Renewable Energy Ltd (TPREL), has terminated its discussions with Malaysian oil and gas company Petroliam Nasional Berhad (Petronas) after a year-long negotiation to raise capital for its renewable energy business through a proposed infrastructure investment trust (InvIT).

The talks had led to an understanding, with Petronas agreeing to invest Rs 3,500-Rs 3,800 crore for about 30-35% stake in the InvIT at an enterprise value of Rs 18,813 crore. Besides Petronas, other institutional and financial investors were also to come on board in the future to invest in the InvIT.

TPREL decided to terminate the deal last week when both sides were in the final stages of discussions for negotiating a binding term sheet, a prominent media source had reported.

Tata Power is now looking for an initial public offering (IPO) of its renewable energy division. The company plans to create a separate entity that will hold the renewable projects along with rooftop solar projects and electric charging stations.

Last year, TPREL initiated talks to raise Rs 3,762 crore-Rs 5,643 crore for its renewable energy platform. The decision was expected to reduce Tata Power's net debt to Rs 25,000 crore from over Rs 36,000 crore.

Tata Power share prices plunged 6% after the announcement.

Image Source


Also read: Tata Power Solar doubles solar cells, modules manufacturing to 1.1 GW

Also read: World Bank to offer $648 mn to India for rooftop solar

Tata Power's subsidiary Tata Power Renewable Energy Ltd (TPREL), has terminated its discussions with Malaysian oil and gas company Petroliam Nasional Berhad (Petronas) after a year-long negotiation to raise capital for its renewable energy business through a proposed infrastructure investment trust (InvIT). The talks had led to an understanding, with Petronas agreeing to invest Rs 3,500-Rs 3,800 crore for about 30-35% stake in the InvIT at an enterprise value of Rs 18,813 crore. Besides Petronas, other institutional and financial investors were also to come on board in the future to invest in the InvIT. TPREL decided to terminate the deal last week when both sides were in the final stages of discussions for negotiating a binding term sheet, a prominent media source had reported. Tata Power is now looking for an initial public offering (IPO) of its renewable energy division. The company plans to create a separate entity that will hold the renewable projects along with rooftop solar projects and electric charging stations. Last year, TPREL initiated talks to raise Rs 3,762 crore-Rs 5,643 crore for its renewable energy platform. The decision was expected to reduce Tata Power's net debt to Rs 25,000 crore from over Rs 36,000 crore. Tata Power share prices plunged 6% after the announcement. Image Source Also read: Tata Power Solar doubles solar cells, modules manufacturing to 1.1 GW Also read: World Bank to offer $648 mn to India for rooftop solar

Next Story
Infrastructure Transport

MoRTH to Frame IRC Norms for New-Age Machines in Highway Work

The Ministry of Road Transport and Highways (MoRTH) has decided to formally adopt Automated and Intelligent Machine-aided Construction (AIMC) for highway projects, aiming to accelerate execution and ensure timely completion. In line with this, MoRTH announced that the Indian Roads Congress (IRC) will develop new guidelines based on feedback from contractors and concessionaires actively involved in these projects.So far, MoRTH has sanctioned at least 16 highway projects where innovative construction equipment will be deployed. Additionally, the ministry is awaiting Cabinet approval for 10 more ..

Next Story
Infrastructure Energy

SECI Extends Green Ammonia Bid Deadline to 30 June

The Solar Energy Corporation of India (SECI) has extended the bid deadline for its green ammonia tender to 30 June 2025. The tender was issued under the SIGHT Scheme - Mode 2A, Tranche I, to supply 7.24 lakh tonnes annually to 13 fertiliser plants.As the implementing agency under the National Green Hydrogen Mission, SECI will enter long-term offtake agreements with selected producers, providing 10-year commercial certainty to encourage market development for green hydrogen derivatives. ..

Next Story
Infrastructure Urban

India Launches First Maritime Sector NBFC

Union Minister Sarbananda Sonowal recently inaugurated Sagarmala Finance Corporation Limited (SMFCL), India’s first NBFC dedicated to the maritime sector. Formally registered with the RBI on 19 June 2025, SMFCL evolved from Sagarmala Development Company Limited.It will address financing gaps for ports, MSMEs, startups, and maritime institutions, supporting shipbuilding, renewable energy, cruise tourism, and education. The move aligns with India’s Maritime Amrit Kaal Vision 2047 and aims to catalyse innovation and sustainable logistics growth.Union Minister of State Shantanu Thakur emphasis..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?