BHUBANESWAR: Two years after acquiring a 49 per cent stake of US-based AES Corporation in Odisha Power Generation Corporation (OPGC), the state government has floated global tender inviting expression of interest (EoI) for disinvestment in the profit making company.
The last date for submission of the EoI is February 23, 2023. “Expression of interests (EOIs) are hereby invited from interested bidders for purchase of 49 per cent shareholding of Government of Odisha in Odisha Power Generation Corporation Limited (OPGC),” read the government advertisement issued on Monday.
In reversal of its privatisation policy, the state government in 2020 had invoked its rights of first refusal to buy back the AES share when the overseas company had finalised a deal with Adani Power to sell its stake. The Competition Commission of India (CCI) had approved the proposed acquisition of 49 per cent of the total equity share capital of OPGC by Adani Power Ltd (APL) in July 2020.
The Odisha Hydro Power Corporation (OHPC), another profit making state PSU, purchased the AES equity in OPGC for `1,000 crore with the approval of the Competition watchdog. Incorporated on November 14, 1984, OPGC has been operating a state-of-the-art thermal power plant of 1,740 MW capacity at Banharpali in Jharsuguda district. In the first phase, two units of 210MW each were set up, and after successful run of more than 25 years, the company set up two more units of 660 MW each which were commissioned in 2019.
The government of Odisha proposes to undertake divestment of 49 per cent of its stake in OPGC in favour of a technically and financially capable entity (government/private) having established track record of operating thermal power plants. The state government promised that the share holders agreement (SHA) will have provisions to protect the interest of the minority investor. The disinvestment will be completed in a two-stage process. It has appointed SBI Capital Markets Limited (SBICAP) as transaction advisor for the process.