REC has completed the sale of its entire stake in Musalgaon Power Transmission Limited to Maharashtra State Electricity Transmission Company Limited (MSETCL) for ₹2.21 crore.

Transaction details

The deal was executed on September 9, 2026, through REC Power Development and Consultancy Limited (RECPDCL), a wholly owned subsidiary of REC Limited. RECPDCL transferred 50,000 equity shares of the project-specific special purpose vehicle (SPV), along with all associated assets and liabilities, to MSETCL.

The consideration of ₹2,20,89,930 includes professional fees and reimbursement of expenses. The transaction was not classified as a slump sale, with the price determined in accordance with guidelines issued by the Ministry of Power, Government of India.

Operational impact

With the transfer, Musalgaon Power Transmission Limited is no longer a subsidiary of RECPDCL or REC Limited. MSETCL assumes full operational responsibility for the infrastructure. The financial contribution of this unit to REC’s turnover or net worth during the last financial year was negligible.

The transaction does not fall under related-party transactions, as MSETCL is not part of REC’s promoter group.

Life Insurance Corporation of India (LIC) has crossed the 5% shareholding threshold in REC Limited following an open market purchase on September 7, 2026. The acquisition triggers a mandatory disclosure under SEBI’s takeover regulations.

The insurer bought 9,93,000 equity shares carrying voting rights. This transaction increased its aggregate holding from 13.15 crore shares to 13.25 crore shares.

Shareholding Details

Prior to the transaction, LIC held 13,14,87,799 shares, representing 4.993% of the total voting capital. The new purchase added 0.038% to its stake.

The total equity share capital of REC Limited remained unchanged at 26,33,22,40,000 shares. The disclosure was filed with the Bombay Stock Exchange and National Stock Exchange on September 8, 2026.

What the Numbers Show

The acquisition was executed via market purchase rather than off-market transfer or preferential allotment. The move pushes LIC’s stake just above the 5% regulatory reporting line, indicating continued institutional interest in the rural electrification lender without a significant change in overall capital structure.