Power Grid Share Price in Focus as Company Acquires SR and ER Power Transmission Limited

Power Grid Corporation of India Limited has announced the acquisition of SR and ER Power Transmission Limited, a project-specific entity formed for an inter-regional transmission project. 

The acquisition follows Power Grid’s selection as the successful bidder under the tariff-based competitive bidding framework and has drawn attention to the stock’s recent market movement.

Details of the Acquisition

Power Grid Corporation of India Limited has acquired SR and ER Power Transmission Limited (SRERPTL) on February 3, 2026. The acquisition was carried out after Power Grid emerged as the successful bidder under the tariff-based competitive bidding (TBCB) mechanism. The transfer was executed from the bid process coordinator, PFC Consulting Limited.

The project will be developed under the build, own, operate and transfer (BOOT) model.

Project Scope and Infrastructure

The acquired project involves the establishment of inter-regional strengthening between the Southern Region (SR) and Eastern Region (ER) grids.

It includes the development of 765 kV double-circuit transmission lines passing through Odisha and Andhra Pradesh, along with associated line bays and reactor works at both ends.

Regulatory and Approval Framework

SRERPTL was incorporated on August 22, 2025, in line with the Ministry of Power’s guidelines on competitive bidding for transmission projects. 

While approvals required for the transfer of the entity have already been obtained by the bid process coordinator, post-acquisition approvals related to the grant of transmission licence and adoption of transmission charges are to be sought from the Central Electricity Regulatory Commission (CERC).

Acquisition Cost and Shareholding

The acquisition was completed through cash consideration amounting to approximately ₹19.63 crore. This includes the purchase of 10,000 equity shares at a face value of ₹10 each, along with the transfer of assets and liabilities as on the acquisition date. 

The final acquisition value remains subject to adjustments based on audited financial statements.

Following the transaction, Power Grid now holds 100% ownership and control of SRERPTL.

Background of the Acquired Entity

SRERPTL is engaged in the business of power transmission, which aligns with Power Grid’s core operations. 

Since the entity was incorporated recently and is yet to commence commercial operations, it has not recorded any turnover in the past three years. The project will be executed entirely within India.

Power Grid Share Price Performance

Shares of Power Grid Corporation of India Limited were trading higher in the morning session on February 4, 2026. As of 09:47, the stock was quoted at ₹288.00, up ₹4.80 or 1.69% from the previous close of ₹283.20.

Read More: NTPC Green Energy Share Price in Focus; Signs MoU for Green Inputs Supply to Proposed Green Urea Plant.

Conclusion

The acquisition of SR and ER Power Transmission Limited marks another addition to Power Grid’s transmission project portfolio under the competitive bidding framework. While regulatory approvals remain pending for project execution, the transaction aligns with the company’s existing business model and long-term infrastructure development objectives.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.