IFC to acquire equity stakes in thermal power station

Hyderabad, Jun 7 (UNI) International Finance Corporation (IFC), the private sector arm of World Bank group, has signed an agreement to subscribe to an equity stake of 5.84 per cent amounting to USD eight million in LANCO Amarkantak Power Private Limited (LAPPL).

LAPPL, a special purpose vehicle promoted by LANCO Group, was developing a Thermal Power Station in Chhattisgarh comprising two coal-based units of 300 MW each, estimated to cost around Rs 2,600 crore, was scheduled for completion in 2008, a company release said here today.

DEG, the private sector arm of KFW, Germany has already committed to having a nine per cent stake in LAPPL and with LANCO Infratech Limited holding 75.16 per cent, the balance equity would be held by other minority shareholders.

At present, the power portfolio of LANCO includes an operating capacity of 518 MW and additional capacities under construction aggregating to more than 3,200 MW. The Construction and EPC division of the company was executing various orders worth more than Rs 5,000 crore, the release added.

UNI