Once approved, the proposed listing in Mumbai could take place this year itself, said the sources
Tata Power Co. is considering raising an initial public offering (IPO) of around Rs 35 billion ($473 million) for its renewable energy business, according to a recent report.
Citing people familiar with the matter, Bloomberg reported that Tata Power has abandoned its previous plans to seek investment from another entity for its green energy business, but is now looking to seek approval from its board for the IPO plans. Once approved, the proposed listing in Mumbai could take place this year itself, said the sources.
It added that the details are tentative and nothing concrete has been finalised yet as discussions are still ongoing regarding the IPO’s size and timing.
This comes amid the government’s efforts to boost the use of renewable energy for the generation of power and hopes to multiply it almost five times over the next decade.
Tata Power, which along with its subsidiaries has a generating capacity of 12.8 gigawatts, claims that clean energy forms about 30 per cent of its total power business.