Tata Power share price up 4% on acquisition of 51% stake in TP Central Odisha Distribution

Tata Power Company share price was up over 4 percent intraday on June 2 after the company completed the acquisition of 51 percent stake in TP Central Odisha Distribution Ltd for Rs 178.5 crore.

"We wish to inform that Tata Power has acquired 51 percent equity stake in TP Central Odisha Distribution Limited (TPCODL) at a consideration of Rs 178.5 crore. GRIDCO Limited will hold balance 49 percent equity stake on TPCODL," the company said in a filing to the exchanges on June 1, 2020.

The stock price has jumped over 32 percent in the last 15 days and was quoting at Rs 41.15, up Rs 1.60, or 4.05 percent at 12:20 hours. It has touched an intraday high of Rs 42.25 and an intraday low of Rs 40.55. It was also one of the most active stocks on NSE in terms of volumes with 3,72,54,208 shares being traded.

"Our tie up with CESU is a huge development for Tata Power. We are thankful to the Odisha Government and OERC for giving us this opportunity. We are committed to provide reliable, affordable and quality power supply along with superior customer service, backed by innovative technology. We constantly strive to become the most preferred distribution company in the country. The success of our Delhi, Mumbai and Ajmer Distribution businesses are testament to this fact," said Praveer Sinha, CEO & MD, Tata Power.

According to Moneycontrol SWOT Analysis powered by Trendlyne, Tata Power has decreasing zero promoter pledge with book value per share improving for last 2 years. The company has reported growth in net profit with increasing profit margin QoQ.

Moneycontrol technical rating is bullish with technical indicators and moving averages being bullish.