Tata Power Company Ltd.

Tata Power Company, country’s largest private power utility, is in early-stage talks with IDFC Private Equity Fund-owned Green Infra to merge the renewable energy assets of both companies, as mentioned in media reports. The transaction on materializing will create country’s largest renewable power producer. IDFC PE, for this, has appointed investment banker Lazard to examine different options to raise capital, including a merger.

The proposal being considered is to merge the renewable energy assets of the two companies in an independent company managed by professionals while Tata Power and IDFC Private Equity will play the role of promoters. Further towards this development, Tata Capital's PE fund and Tata Communications, both could invest in the new formed company.

The company reported 52.77% fall in its net profit at Rs 216.38 crore for third quarter ended December 31, 2012 as compared to Rs 458.16 crore for the same quarter in the previous year. The total income of the company has decreased by 3.06% at Rs 2580.93 crore for quarter under review as compared to Rs 2662.34 crore for the quarter ended December 31, 2011.