REC subsidiary transfers 'Jalna Power Transmission' to MSETCL

New Delhi: State-owned power sector financier REC Limited on Friday announced the sale and transfer of its project-specific special purpose vehicle (SPV), Jalna Power Transmission Limited, to Maharashtra State Electricity Transmission Company Limited (MSETCL) following the completion of a tariff-based competitive bidding process.

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In a regulatory filing to the stock exchnages on Friday, REC said that its wholly-owned subsidiary, REC Power Development and Consultancy Limited, transferred its entire shareholding in Jalna Power Transmission Limited, comprising 50,000 equity shares, along with all assets and liabilities, to the successful bidder on June 12, 2026, after receiving the necessary consideration.

With the completion of the transaction, Jalna Power Transmission Limited has ceased to be a subsidiary of both RECPDCL and REC Limited with effect from June 12.

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According to the company, the Share Purchase Agreement (SPA) for the transfer was executed on June 12. The consideration received for the transaction amounted to approximately Rs 3.22 crore, inclusive of taxes, professional fees and reimbursement of expenses.

REC stated that MSETCL emerged as the successful bidder through the tariff-based competitive bidding process.

REC added that the consideration for the sale and transfer of the SPV was determined in accordance with guidelines issued by the Ministry of Power.

"The contribution of Jalna Power Transmission Limited to REC's turnover, revenue, income and net worth during the last financial year was described as negligible," REC further added.

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