Tata Power gets NCLT approval for Composite Scheme of Arrangement with CGPL

Tata Powerhas received approval from the National Company Law Tribunal (NCLT) for the Composite Scheme of Arrangement between Coastal Gujarat Power Limited (CGPL) and Tata Power and their respective shareholders.

CGPL is a wholly-owned subsidiary of Tata Power and operates the 4,000 MW ultra mega power project in Mundra, Gujarat.The scheme provides for the amalgamation of CGPL with Tata Power and will result in numerous benefits such as streamlining the corporate structure and consolidation of assets and liabilities of CGPL within Tata Power, a more efficient utilisation of capital for the enhanced development and growth of the consolidated business in one entity. Further benefits include availing easier financial support, bringing operational efficiencies, and enabling cost savings through legal entity rationalisation and consolidation.