State-run
NTPC and
Gail India have inked a pact amongst each other where NTPC will offload its entire stake held in Konkan LNG to buy the latter's entire shareholding in Ratnagiri Gas and Power.
Both NTPC and Gail have executed a share purchase agreement on Tuesday.
As per the agreement, NTPC will buy GAIL’s entire shareholding of 25.51% in Ratnagiri Gas and Power Pvt. Ltd. (RGPPL). Furthermore, Gail will purchase NTPC's entire shareholding of 14.82% in Konkan LNG (KLL).
NTPC said, "After transfer of shares as per the Share Purchase Agreements, NTPC will exit from KLL and NTPC's shareholding in RGPPL will become 86.49%."
Consequently, GAIL's shareholding in RGPPL will be reduced to NIL. However, GAIL's shareholding in KLL will increase to 92.15%.
At around 1.31 pm, Gail was trading at Rs144.60 per piece down by 1.87% on Sensex, while NTPC was performing at Rs102.90 per piece lower by 0.6% on the same index.