Shares of Tata Power Company Limited rose by 2% as it received a Letter of Intent (LoI) from REC Power Development and Consultancy Limited, which is a wholly-owned subsidiary of Rural Electrification Corporation Ltd. (REC) Limited, to acquire the Jalpura Khurja project for Rs 838 crore.

As per Tata Power’s filing on the exchange, the Jalpura Khurja Power Transmission Limited project will be developed on a build-own-operate transfer basis. It would provide transmission services for 35 years from the scheduled date of commercial operation (SCOD), which is 18 months from the date of acquisition of the special purpose vehicle (SPV).

Tata Power has reported a consolidated net profit of Rs 1,076.12 crore in Q3FY24, which is an increase from Rs 1,052.14 crore in its immediate previous year. The company has attributed this net profit to the rise in better realisation in its core business segments, which include generation, transmission, distribution, and renewables.

Consolidated total revenue for the same period increased to Rs 15,294.13 crore, a growth of 6.2%. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) also grew to Rs 3,060.55 crore, a 20% increase from Rs 2,607.61 crore.

At 10:32 am, shares of Tata Power were trading at Rs 382.95, 1.77% higher than its previous close on the National Stock Exchange.