What was filed
REC Limited informed the exchanges that REC Power Development and Consultancy Limited (RECPDCL), its wholly owned subsidiary, has transferred the entire shareholding — 50,000 equity shares of each — of two project-specific subsidiaries, along with all their assets and liabilities, to the successful bidders chosen through a tariff-based competitive bidding process. WR ER Part A Power Transmission Limited went to Power Grid Corporation of India Limited, and WR ER Part C Power Transmission Limited went to H G Infra Engineering Limited. The transfer took effect on June 30, 2026, and per the filing the two entities are no longer subsidiaries of RECPDCL or REC Limited.
How the deal is structured
This is the standard operating model for RECPDCL's transmission business: it incorporates project-specific special-purpose vehicles, runs the competitive bid, and hands the winning SPV to the successful bidder. The Share Purchase Agreements for both entities were executed on June 30, 2026. Per the filing, neither buyer belongs to REC's promoter or promoter group, the transactions do not fall within related-party transactions, and the consideration was determined in accordance with guidelines issued by the Ministry of Power. The company states the transfers are not in the nature of a slump sale.
Why it matters to a holder
REC classified the revenue and net-worth contribution of these units in the last financial year as "Negligible," so the direct financial impact is limited. The disclosure is chiefly a confirmation that RECPDCL's transmission-SPV pipeline is functioning as designed — building bid-out projects and passing them to winning developers on completion of the bid process.