The major shareholding in the Company is with ONGC, which is promoter and also the gas supplier of OTPC’s power plant. The substantial shareholding is with IL&FS, promoter which has provided the project development support. The Government of Tripura, which has a minority stake promoter in the project, has provided all State level support in implementation of the Project.
In another breakthrough, the Company has successfully achieved financial closure of the Project by tying up its residual equity of 23.5% on 10.04.2015, consequent to entering into definitive agreements by ONGC, IEDCL and GOT, three promoters of OTPC with IIF- II (acting through its investment manager “IDFC Alternatives Limited”).
Oil and Natural Gas Corporation (ONGC) - 50%
ONGC is India's largest producer of Crude Oil & Natural Gas and dominates the exploration and production of crude oil and natural gas in India with 85% market share. ONGC has the maximum number of exploration licenses, including competitive NELP rounds. It owns and operates more than 15,000 kilometers of pipelines in India, including nearly 3,800 kilometers of sub-sea pipelines.
ONGC’s strong financials and impressive record provide considerable credibility to theOTPC power project.
ONGC has existing set up in Tripura for exploration and production of gas. However due to the lack of industrial development in the state, the assets have been hitherto underutilized. The private developers have till date not exhibited material interest in developing such projects in the region due to the lack of familiarity with the area and quantum of investment required to set up facility of such magnitude. Therefore as an entity well versed with local peculiarities as well as having access to tremendous financial resources, ONGC has played a key role in developing the project. Further as an operator of gas fields in the state of Tripura, ONGC would be able to mitigate gas supply related risks for the Power Project.
Infrastructure Leasing & Financial Services (IL&FS) –26%
IL&FS is a leading institution of India, promoted by Public sector Financial Institutions and Banks of India including UTI, Central Bank of India and HDFC among others, with an objective, inter alia, of developing projects in the infrastructure sector on commercial basis. IL&FS group companies have significant experience and expertise to render advice, develop projects, facilitate formulation of policy and related aspects for catalyzing Public Private Partnership (PPP), identify prospective developers, undertake mobilization of financial resources from both the domestic Financial Institutions and multilateral agencies and participate as a co-promoter in specific projects.
Government of Tripura – 0.5%
Government of Tripura (GoT) has picked up 0.5% stake in the project in view of its expected positive impact on the industrial development in the state. The project would give a big boost to the industrialization and economic growth to not only Tripura state but the whole North Eastern part of the country and would go a long way in eradicating regional imbalances in the country. GoT has been fully committed to the implementation of the project and has made all efforts to help OTPC in land acquisition, water availability, availability of local infrastructure, obtaining various clearances etc.
India Infrastructure Fund – II- 23.5%
India Infrastructure Fund- II (acting through its investment manager ‘IDFC Alternatives Limited) has acquired 23.5% equity stake in the Company with effect from 10.04.2015. This investment by India Infrastructure Fund- II brings on board a credible infrastructure partner, further strengthening the core development theme of the project.