REC Limited has appointed Shri Mukul Agarwal as its new Internal Auditor, effective August 1, 2026. The appointment follows the cessation of Shri Sahab Narain from the role due to superannuation on the same date. This transition ensures continuity in the company’s internal audit functions and compliance framework.

The disclosure was made pursuant to Regulation 30 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The intimation was submitted to both the National Stock Exchange of India Limited and BSE Limited on August 1, 2026.

Key Details of the Change

Shri Mukul Agarwal currently serves as General Manager (Finance & Accounts) at REC Limited. He is a Member of the Institute of Cost Accountants of India and holds a Bachelor's degree in Commerce.

No relationships between directors were disclosed in connection with this appointment or cessation. The company secretary and compliance officer, Dinesh Garg, signed the intimation on behalf of REC Limited.

REC Limited has completed the sale of its project-specific special purpose vehicle (SPV), Ryapte Power Transmission Limited, to The Tata Power Company Limited. The transaction, finalized on July 30, 2026, involved the transfer of the entire shareholding comprising 50,000 equity shares held by REC Power Development and Consultancy Limited (RECPDCL), a wholly owned subsidiary of REC Limited. The deal was executed after RECPDCL received the necessary consideration from the successful bidder selected through a tariff-based competitive bidding process.

The total consideration for the sale amounts to ₹10,86,62,034, which includes applicable taxes, professional fees, and reimbursement of expenses. With effect from July 30, 2026, Ryapte Power Transmission Limited is no longer a subsidiary of RECPDCL or REC Limited. The Share Purchase Agreement (SPA) was executed between RECPDCL and The Tata Power Company Limited on the same date. The buyer does not belong to the promoter or promoter group of REC Limited, and the transaction is not classified as a related party transaction.

Transaction Details

Regulatory Compliance and Financial Impact

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The filing confirms that the transaction does not fall within the purview of related party transactions and is not in the nature of a slump sale. Furthermore, the sale is outside any Scheme of Arrangement, rendering Regulation 37A of the LODR Regulations not applicable.

The consideration for the sale and transfer of the SPV was determined in accordance with the guidelines issued by the Ministry of Power, Government of India. According to the disclosure, the turnover, revenue, income, and net worth contributed by Ryapte Power Transmission Limited during the last financial year were negligible. This suggests that the divestiture has minimal impact on the consolidated financial statements of REC Limited for the preceding period.

What the Numbers Show

The negligible financial contribution of Ryapte Power Transmission Limited indicates that this divestiture is likely part of a portfolio optimization strategy rather than a response to underperformance or distress. By exiting through a competitive bidding process and transferring assets and liabilities simultaneously, REC Limited has effectively de-risked its exposure to this specific transmission project while realizing a defined exit value. The involvement of The Tata Power Company Limited, a major player in the power sector, suggests a strategic alignment in asset management within the industry.