IPCL and DPSC to Build a Coal-Fired Captive Power Plant - Increased Private Sector Participation Driving New Capacity Build-up in India - Deal Analysis From GlobalData

IPCL and DPSC to Build a Coal-Fired Captive Power Plant - Increased Private Sector Participation Driving New Capacity Build-up in India - Deal Analysis From GlobalData

Summary

India Power Corporation Limited (IPCL) and DPSC Ltd., a power generation and distribution group, announced an investment of $712.26m for the construction and development of a coal-fired captive power plant in Raghunathpur, West Bengal, India. The announcement comes soon after the acquisition of DPSC Ltd. in 2010 by IPCL, a private utility that embarked on a major expansion plan to strengthen the distribution network and make the state of West Bengal self-sufficient in power. The combined entity presently has an installed generation capacity of about 77.4 MW, which they plan to scale-up by adding another 4,362 MW, with a total investment of INR250,000m ($5,688m) by March 2015. Aside from the 540 MW Raghunathpur coal-fired power plant that would be commissioned by 2014, the company has also invested to build another 450 MW coal-fired plant in the same area at Haldia, which will be implemented by 2013.

Scope

• The information related to IPCL and DPSC's investment to build a coal-fired captive power plant
• Comparison of similar asset finance deals
• Key drivers of the deal
• Rationale of the deal
• A brief on IPCL and DPSC

Reasons to buy

The Deal Report allows the reader to -

• Understand the reasons for the investment
• Understand the response from the markets
• Understand the impact of the deal on IPCL and DPSC