REC Limited announced the sale and transfer of its entire shareholding in Musalgaon Power Transmission Limited, a wholly-owned subsidiary of REC Power Development and Consultancy Limited (RECPDCL). The transaction, completed on September 9, 2026, involved 50,000 equity shares and included all associated assets and liabilities. The divestment follows a tariff-based competitive bidding process, and the successful bidder is Maharashtra State Electricity Transmission Company Limited, who does not belong to the promoter group.
REC Limited Divests Subsidiary Stake
REC Limited has completed the sale of its entire stake in Musalgaon Power Transmission Limited, a subsidiary held through its wholly-owned arm, REC Power Development and Consultancy Limited (RECPDCL). This significant divestment was executed on September 9, 2026, following the receipt of the necessary consideration.
Transaction Details
The transaction encompassed the transfer of 50,000 equity shares of Musalgaon Power Transmission Limited, along with all its associated assets and liabilities. The sale was a result of a tariff-based competitive bidding process, identifying Maharashtra State Electricity Transmission Company Limited as the successful bidder. It is noted that the successful bidder is independent of REC Limited’s promoter group, and the transaction is not considered a related-party transaction.
Financial and Operational Impact
The contribution to REC Limited’s turnover, revenue, income, and net worth from Musalgaon Power Transmission Limited was deemed negligible during the last financial year. The consideration received for the sale amounts to ₹2,20,89,930/-, inclusive of taxes, professional fees, and expense reimbursements. This consideration was determined in accordance with guidelines issued by the Ministry of Power, Government of India. As a consequence of this transfer, Musalgaon Power Transmission Limited is no longer a subsidiary of RECPDCL or REC Limited.
Source: BSE
