Nxtra Data Ltd a Airtel subsidiary acquires 11.33% stake in Avaada KNShorapur
Bharti Airtel's data centre subsidiary, Nxtra Data Ltd, has acquired an 11.33% equity stake in Avaada KNShorapur Private Limited, a special purpose vehicle (SPV) formed for the purpose of owning and operating the Captive Power Plant, in terms of the regulatory requirement for captive power consumption under electricity laws.
Nxtra Data has acquired the stake for a cash consideration of Rs 2.80 crore "for acquisition of aggregate 28,07,350 equity shares of Rs 10 each," Airtel said in a regulatory filing on Friday.
The acquisition has been made "to comply with regulatory requirement for captive power plants under the provisions of Electricity Act' 2003 and Indian Electricity Rules, 2005 and procurement of cost-effective renewable energy.
Meanwhile, the completion of the acquisition is subject to the receipt of all consents, permissions required to be obtained by Avaada KNShorapur from the regulatory authority for open access for captive consumption of electricity, according to the filing.
Avaada KNShorapur is engaged in business to act as an SPV under Avaada Indiclean Private Limited to develop, execute, manage and run up to 10 MW Solar Power Generation Plant(s) in Karnataka in accordance with the policy of the state government relating to production, supply and distribution of solar energy.
Incorporated on October 4, 2021, the company is a subsidiary of Avaada Indiclean Private Limited which is primarily engaged in the business to act as an SPV created by Avaada Energy Private Limited to develop, execute, manage and run up to 50 MW Solar Power Generation Plant(s) in Karnataka.