REC Limited sells Umred Power Transmission Limited to MSETCL

By Global Infrastructure Sherpa · Feb 27, 2026

Sale Transmission announced India Feb 27, 2026

EUR23.4M

Deal Value

Umred Power Transmission Limited

Project

REC Limited has successfully sold its subsidiary, Umred Power Transmission Limited, to Maharashtra State Electricity Transmission Company Limited, effective February 26, 2026. The sale was conducted through a competitive bidding process.

Deal Analysis

REC Limited's sale of Umred Power Transmission Limited to Maharashtra State Electricity Transmission Company Limited (MSETCL) represents a strategic divestment for REC and an acquisition that strengthens MSETCL's transmission infrastructure portfolio within Maharashtra. The transaction, announced on February 27, 2026, follows a competitive bidding process, suggesting a focus on maximizing value for REC. This deal underscores the ongoing consolidation and strategic realignment within the Indian power transmission sector. The sale to MSETCL, a state-owned entity, indicates a preference for local expertise and control over critical transmission assets. While the deal value is not specified, the involvement of REC, a major player in power sector financing, and MSETCL, a key transmission utility in Maharashtra, suggests a transaction of considerable regional significance. The deal's completion is expected to enhance the efficiency and reliability of power transmission in the Umred region.

REC Limited divests Umred Power Transmission Limited.
Maharashtra State Electricity Transmission Company Limited (MSETCL) is the acquirer.
The sale was conducted through a competitive bidding process.
The deal strengthens MSETCL's transmission infrastructure in Maharashtra.

Market Context: The Indian power transmission sector is undergoing significant expansion and modernization to meet growing electricity demand. This deal reflects the ongoing trend of consolidation and strategic acquisitions within the sector, with state-owned entities playing a key role in infrastructure development.

Source Intelligence

KEY DETAILS

The transaction was carried out through REC Power Development and Consultancy Limited (RECPDCL), which is a wholly-owned subsidiary of REC Limited. As part of the deal, the entire shareholding of the Special Purpose Vehicle (SPV), comprising 50,000 equity shares, has been transferred to Maharashtra State Electricity Transmission Company Limited (MSETCL). The buyer was selected through a tariff-based competitive bidding process. REC clarified that the acquiring entity does not belong to its promoter or promoter group. REC Limited further stated that the financial impact of this subsidiary on its total turnover and net worth during the previous financial year was negligible. The company also confirmed that the transaction does not fall under the category of a related party transaction or a slump sale.

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Deal Size

The total consideration for the transaction stood at ₹2,34,28,481.

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Location

REC Limited Transfers Umred Power Transmission SPV To MSETCL

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Announcement

The intimation was issued on February 26, 2026.

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Signing

The Share Purchase Agreement was executed and completed on February 26, 2026, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

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Expected Close

With the completion of the share transfer, Umred Power Transmission Limited has ceased to be a subsidiary of both RECPDCL and REC Limited, effective February 26, 2026.

PARTIES MENTIONED IN SOURCE

REC Limited seller

"REC Limited, a Maharatna Government of India enterprise, has announced the successful sale and transfer of its project-specific subsidiary, Umred Power Transmission Limited."

Maharashtra State Electricity Transmission Company Limited buyer

"As part of the deal, the entire shareholding of the Special Purpose Vehicle (SPV), comprising 50,000 equity shares, has been transferred to Maharashtra State Electricity Transmission Company Limited (MSETCL)."

high quality Enriched Feb 27, 2026