NTPC, MAHAGENCO sign SHA for Sinnar Thermal acquisition

NTPC Limited has informed the stock exchanges that it signed a Shareholder Agreement (SHA) with Maharashtra State Power Generation Company Limited (MAHAGENCO) on 9 January 2026. The agreement formalises the consortium arrangement for the acquisition of Sinnar Thermal Power Limited (STPL), which is undergoing the Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code, 2016.

The acquisition follows approval of the consortium’s resolution plan by the Hon’ble National Company Law Tribunal (NCLT), Delhi, on 28 November 2025. The approval allows the consortium to proceed with the takeover of the stressed asset.

STPL is an unlisted public company incorporated in 2007. It owns a coal based thermal power project with an installed capacity of 1,350 MW, comprising five units of 270 MW each, located at Sinnar in Nashik district of Maharashtra. Commercial operation has been declared for one unit of 270 MW.

Under the agreed structure, NTPC and MAHAGENCO will acquire 100% equity in STPL through the consortium, with each partner holding a 50% stake. The total acquisition cost for the consortium is Rs 3,800.14 crore, to be paid in cash.

The transaction is required to be completed within 90 days from the date of the NCLT approval order, setting the deadline at 26 February 2026. NTPC has clarified that the transaction does not qualify as a related party transaction.

Following completion of the acquisition, the total installed capacity of the NTPC Group will increase to 86,987 MW, while its commercial capacity will rise to 85,907 MW.

Image Source: RattanIndia Power Limited