State-owned NTPC is spinning off its renewable energy assets to its wholly-owned subsidiary NTPC Green Energy Ltd (NGEL).

In a regulatory filing to the stock exchanges, NTPC said it will transfer 15 renewable energy assets to NTPC Green through a business transfer agreement dated July 8. It will also transfer 100 per cent equity shareholding held in NTPC Renewable Energy Ltd (NREL), its wholly-owned subsidiary, to NGEL through a share purchase agreement.

NTPC said the revenue from the 15 renewable energy assets proposed to be transferred was Rs 917.46 crore in 2021-22, which is around 0.68 per cent of its revenue of Rs 1,34,994.31 crore (on a consolidated basis) as of March 31. Similarly, the revenue from NREL was Rs 79.8 lakh in 2021- 22, which was 0.0006 per cent of its consolidated revenue during the fiscal year.

NTPC added that it expects to complete the transaction on the 120th day from the execution date. Shares of the company on Monday ended in the green at Rs 144.35.

Last week, the power giant said it registered a 21.7 per cent growth in electricity generation at 104.4 billion units (BU) in the April-June quarter, an increase of 21.7 per cent from 85.8BU generated a year ago.

A company statement said in June that power generation was 34.8BU, 29.3 per cent higher than 26.9BU in June 2021, indicating an improved performance and an increase in demand for power in the current year. NTPC Talcher Kaniha (3000 MW) in Orissa was the top-performing thermal power plant with a 94.2 per cent plant load factor between April to June 2022.