Torrent Power Limited announced today, February 16, 2026, the execution of a Securities Purchase Agreement to acquire 100% equity stake and convertible instruments in Nabha Power Limited (NPL). The total consideration for the acquisition is Rs. 3,660.87 crores, subject to standard closing adjustments. NPL operates a 2×700 MW supercritical thermal power plant in Punjab, expanding Torrent Power’s generation portfolio and footprint in Northern India. The deal is expected to close by June 30, 2026, pending regulatory approvals.
Acquisition of Nabha Power Limited
Torrent Power Limited has entered into a definitive agreement to acquire the entire ownership of Nabha Power Limited (“NPL”) from L&T Power Development Limited (“LTPDL”). The acquisition encompasses 100% of the equity stake and convertible instruments of NPL. The transaction was finalized today, February 16, 2026, at 11:26 am.
Transaction Financials and Structure
The aggregate consideration agreed upon for this strategic purchase is Rs. 3,660.87 crores, which will be paid in cash, subject to customary closing adjustments. The acquisition is structured as a purchase of 100% shareholding. Torrent Power confirms that this transaction does not involve any related party interests from its promoters or promoter group.
Details of the Target Entity (NPL)
Nabha Power Limited (NPL) is engaged in the Generation of Electricity. NPL owns and operates a substantial asset: a 2×700 MW coal-based supercritical thermal power plant located in Rajpura, Punjab. NPL has a long-term arrangement, selling all generated power to Punjab State Power Corporation Limited under a 25-year Power Purchase Agreement.
Historical Turnover Data for NPL:
- FY 25: INR 4,421.54 Crore
- FY 24: INR 4,313.17 Crore
- FY 23: INR 4,569.91 Crore
NPL was originally incorporated on 9 April 2007 and currently has its presence exclusively in India.
Strategic Rationale and Timeline
The acquisition aligns perfectly with Torrent Power’s strategy as an integrated power player, covering generation, transmission, and distribution. This move will allow the company to expand its existing thermal generation portfolio and significantly extend its operational presence into Northern India. The acquisition is conditional upon receiving necessary regulatory clearances, primarily approval from the Competition Commission of India (CCI). The target completion date for all conditions precedent is set for on or before June 30, 2026.
Source: BSE
