POWERGRID has successfully acquired Fatehgarh II Transmission Limited, a project Special Purpose Vehicle (SPV). This acquisition, finalized on August 28, 2026, follows POWERGRID’s selection as the successful bidder under a Tariff-Based Competitive Bidding process. The SPV is tasked with establishing an Inter-State Transmission system for the installation of two Synchronous Condensers at the Fatehgarh-II Power Station.
Strategic Acquisition in Power Transmission
POWERGRID Corporation of India Limited announced today the acquisition of Fatehgarh II Transmission Limited. This acquisition, effective August 28, 2026, was made pursuant to POWERGRID being selected as the successful bidder under the Tariff-Based Competitive Bidding (TBCB) route. The acquired entity, Fatehgarh II Transmission Limited, is a Project Special Purpose Vehicle (SPV) established to implement a critical Inter-State Transmission system.
Project Details and Scope
The project undertaken by Fatehgarh II Transmission Limited involves the installation and commissioning of two Synchronous Condensers (SynCons) at the 765/400/220kV Fatehgarh-II Power Station. This initiative is being executed on a Build, Own, Operate, and Transfer (BOOT) basis. The project’s scope includes not only the SynCon units but also associated bays, aimed at enhancing grid stability and efficiency.
Acquisition Rationale and Impact
The acquisition aligns with POWERGRID’s core business of power transmission. Fatehgarh II Transmission Limited is engaged in the same business domain, ensuring synergy and strategic alignment. The company has confirmed that this acquisition does not involve related party transactions, and prior to this event, POWERGRID held no interest in the acquired entity concerning such transactions. The impact of this acquisition is expected to strengthen POWERGRID’s transmission infrastructure network.
Key Information on Acquisition
The acquisition process involved consideration details, with cash consideration for Fatehgarh II Transmission Limited amounting to an aggregate value of approximately ₹19.11 Crore. This figure is based on an estimated equity value of ₹10 crore and an additional ₹10 crore along with assets and liabilities related to the project. The acquisition was completed on August 28, 2026. All necessary regulatory approvals required for the acquisition have been obtained.
Source: BSE
