NLC India to invest up to Rs 3,720 crore into subsidiary, transfer green assets

The net book value of the renewable assets in the books of NLC India is Rs 6,263 crore, as on September 30.

NLC India will invest up to Rs 3,720 crore in a wholly-owned subsidiary NLC India Renewables (NIRL) in tranches, to undertake green energy projects, subject to approval of DIPAM, the company informed stock exchanges on November 19.

NLC India also said it will be transferring renewable assets to NIRL as part of an asset monetization plan, in return acquiring stake in the green energy company.

The investment into NIRL are for the development of renewable power projects in Gujarat and Rajasthan, and to carry out existing green projects under the asset monetisation plan, said NLC India.

The company also informed that the net book value of renewable assets in the books of NLC India stands at Rs 6,263 crore as on September 30.

The company has also approved issuing letters of comfort to subsidiaries for borrowings, namely, NLC India Renewables, NLC India Green Energy, Neyveli UP Power and NLC Tamil Nadu Power.