Tata Power to Acquire 40% Stake in Bhutan's KHPL for Hydro Project

Tata Power plans to acquire a 40% stake in Khorlochhu Hydro Power Limited for Rs 830 crore to set up a 600 MW hydro project in Bhutan. This project supports Tata Power’s clean energy transition. Additionally, Tata Power will terminate its Global Depository Shares program listed on the Luxembourg Stock Exchange.

Tata Power, a leading energy company in India, has announced its intention to acquire a 40% stake in Khorlochhu Hydro Power Limited (KHPL) for Rs 830 crore. This investment is part of a larger effort to establish a 600 MW hydro project in Bhutan, with the total estimated cost being Rs 6,900 crore. The agreement finalizes a partnership with Druk Green Power Company to advance the project.

The acquisition aligns with Tata Power's strategic objective to accelerate its transition to clean and green energy. Tata Power CEO, Praveer Sinha, highlighted their commitment to adopting innovative clean energy solutions, including this hydropower project in Bhutan, pumped hydro, and small modular nuclear reactors as per evolving government policies.

In a separate announcement, Tata Power revealed its decision to terminate and delist its Global Depository Shares (GDS) program. The GDSs, issued in 1994 and listed on the Luxembourg Stock Exchange, will be delisted due to lack of activity, aiming to simplify financial reporting and reduce administrative costs.

(With inputs from agencies.)