Power Grid shares witnessed good investor interest today. The stock rose 2.3% to hit an intraday high of ₹295.25 per share. As of 3:00 pm, Power Grid shares were trading 2.0% higher at ₹294.5 per share.
This surge in share price comes after the company announced the acquisition of MEL Power Transmission (MPTL), a project-specific special purpose vehicle (SPV) set up by PFC Consulting Ltd, under the tariff-based competitive bidding (TBCB) route.
MPTL will be acquired at an aggregate consideration of approximately ₹8.53 crore, comprising 10,000 equity shares at par at Rs 10/- per share and the assets and liabilities of MPTL as on the date of acquisition. MPTL will be engaged in the business of transmission of electricity.
The company has not yet started commercial operations, so no turnover has been recorded during the last three years. In the March quarter, the company reported a 0.6% decline in revenue to ₹10,983 crore, while standalone net profit rose 5.1% to ₹4,336 crore.
The company’s board of directors recommended a final dividend of ₹1.25 per share for the financial year.
