DIPAM writes to power ministry to explore NTPC-SJVN merger

The government’s sell-off department DIPAM has written to the power ministry to explore the possibility of a big-ticket merger and acquisition of NTPC and SJVN, similar to the one between oil marketing PSUs ONGC and HPCL and power financiers PFC and REC, sources said.

“They are yet to respond,” a source said.

“We need a big M&A (merger and acquisition) in oil, power or any sector to boost revenue flow to the disinvestment kitty,” the source said.

In case of SJVN, the approval of Himanchal Pradesh government is also necessary as the state government holds about 27% stake in the power project while the Centre holds about 63%.