L&T completes sale of Nabha Power to Torrent Power
Larsen & Toubro Limited (L&T) has completed the divestment of its subsidiary, Nabha Power Limited (NPL), to Torrent Power Limited following receipt of the required regulatory approvals, including clearance from the Competition Commission of India (CCI).
The transaction, first announced on February 16, 2026, involved L&T’s wholly owned subsidiary, L&T Power Development Limited (L&T PDL), transferring 100% of its equity shares and convertible instruments in NPL to Torrent Power. The total consideration received by L&T PDL at closing, after applicable adjustments, amounted to Rs 3,632.35 crore.
Following completion of the transaction, NPL has ceased to be a subsidiary of L&T PDL and the L&T Group. However, L&T PDL will continue to hold 2,32,50,00,000 (0.1%) Non-Convertible Redeemable Preference Shares in NPL, which were valued at Rs 157.92 crore as of March 31, 2026.
Torrent Power also confirmed that NPL has become a wholly owned subsidiary of the company with effect from the closing date.
Nabha Power owns and operates a 2×700 MW coal-based supercritical thermal power plant in Punjab. The plant supplies power under long-term power purchase agreements (PPAs) with Punjab State Power Corporation Limited.
The divestment is part of L&T’s strategy to streamline its portfolio and unlock value from non-core assets, while the acquisition strengthens Torrent Power’s thermal generation portfolio.
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