The shares of Tata Power rose 3.4% intraday Wednesday as its subsidiary receives a letter of intent (LoI) for the acquisition of 75% in a power generation company named Prayagraj Power. The loaners of PPGCL (Prayagraj Power Generation Company) issued the letter of intent (LoI) to the resurgent power ventures for procurement of 75% stake in PPGCL, according to the company release.

Tata Power held 26 percent shares of Resurgent Power which is a Joint Venture based out of Singapore. The remaining 74% shares of Resurgent power are held by investors of international repute and none other than ICICI Bank.

It is our effort to maximize the shareholder value through sound investments and growth. We found Prayagraj Power suits in our scheme of growth and improve the stock value, Praveen Sinha, MD & CEO, Tata Power said.

The share price clearly describes that after acquiring 75% in Prayagraj Power, a share price of Tata Power is increased.

At 3:57 PM August 29, 2018, the share price of Tata Power was quoting at INR 76.85 up 2.15 or 2.88%.