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JSW Energy to acquire GE Power India's Durgapur Facility

In order to reduce dependency on third-party suppliers, JSW Energy has announced a strategic corporate restructuring, wherein company's Board of Directors has approved a scheme of arrangement for the demerger of GE Power India Limited's (GEPIL) Durgapur facility, which specializes in manufacturing power boiler components, pressure vessels, piping, and coal mills for thermal power plants, according to a BSE filing.

“The transfer and vesting of the demerged undertaking from the demerged company to the company pursuant to this scheme will provide an opportunity to the company for vertical integration by securing a ready to use dedicated boiler parts manufacturing facility and reducing dependency on third-party suppliers; create significant operational synergies, leading to economies of scale, enhancing cost efficiencies, and improving control over critical component requirements of thermal power asset enabling increased production capacity to support future thermal projects of the Company aligned with the long-term vision of expanding into energy portfolio and thereby creating value for all its shareholders,” the filing said.

In another development, JSW Neo Energy Limited, a wholly owned subsidiary of JSW Energy Limited, has agreed to acquire 100 percent equity shares of Tidong Power Generation Private Limited having a 150 MW under construction hydro power project, according to a BSE filing.

JSW Neo Energy has set a target to reach 30 gigawatts (GW) generation capacity and 40 gigawatt hour (GWh) of storage capacity by 2029-30 (FY30), with the share of renewable energy generation increasing to 70 percent by FY30. The hydro asset under this transaction will be acquired by JSW Neo Energy Limited, a wholly owned subsidiary of the Company. The acquisition would help the company in achieving its renewable-led capacity growth target of 30 GW by FY0.

The proposed acquisition is expected to be completed on or before January 15, 2026, subject to fulfilment of the conditions under the definitive agreements.