REC Limited has completed the divestment of two project-specific subsidiaries through its wholly owned arm, REC Limited Power Development and Consultancy Limited (RECPDCL). The transfer of shareholding, along with all associated assets and liabilities, was finalized on July 29, 2026, following a tariff-based competitive bidding process. This move streamlines the company’s portfolio by exiting specific transmission projects that contributed negligible revenue in the last financial year, allowing management to focus on core operations and higher-yield assets.

The sale involved the transfer of 50,000 equity shares each from Bhadla Ramgarh Power Transmission Limited and Shongtong Power Transmission Limited. The successful bidders were selected through an open competitive process, ensuring market-driven valuation. The transaction does not constitute a related-party transaction, nor is it classified as a slump sale. Instead, the consideration amounts were determined in accordance with guidelines issued by the Ministry of Power, Government of India.

Transaction Details

The financial specifics of the divestment are outlined below. Both figures include applicable taxes, professional fees, and reimbursement of expenses.

Power Grid Corporation of India Limited acquired Bhadla Ramgarh Power Transmission Limited, while Terralight Solar Energy Tinwari Private Limited took over Shongtong Power Transmission Limited. Neither buyer belongs to the promoter or promoter group of REC Limited.

Regulatory Compliance and Process

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Share Purchase Agreements (SPA) for both entities were executed on July 29, 2026, marking the completion date of the sale. The filing confirms that the transactions are outside the scope of any Scheme of Arrangement under Regulation 37A of the LODR Regulations.

What the Numbers Show

The divestment highlights a strategic shift toward optimizing asset quality rather than sheer volume. Since the sold units contributed negligible turnover and net worth in the previous financial year, their removal likely improves consolidated efficiency metrics without impacting top-line revenue significantly. The use of a competitive bidding mechanism suggests that the valuations reflect current market rates for transmission infrastructure, providing fair value realization for these non-core assets.

REC Limited will hold its 57th Annual General Meeting (AGM) on Tuesday, August 25, 2026, at 11:00 A.M. IST via Video Conferencing (VC) or Other Audio Visual Means (OAVM). The Maharatna Government of India Enterprise is also enforcing strict compliance with recent regulatory amendments, requiring shareholders to update bank account details for electronic dividend credits and opening a special window for the transfer of physical shares. This move ensures seamless dividend distribution and addresses long-pending transfer requests for physical securities.

The meeting notice was issued pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Notice of AGM and the Annual Report for the financial year 2025-26 will be sent exclusively by email to shareholders who have registered their email addresses with the Registrar & Transfer Agent (RTA) or respective Depository Participants (DP). For shareholders without registered emails, the company is sending a letter containing a weblink to access these documents, in compliance with Regulation 36(1)(b) of the Listing Regulations.

E-Voting and Participation

Remote e-voting will commence on Saturday, August 22, 2026, at 09:00 hours and conclude on Monday, August 24, 2026, at 17:00 hours. Shareholders can cast their votes on the items of business set forth in the AGM notice through remote e-voting prior to the meeting or via the e-voting system during the AGM. Detailed instructions for attending the VC/OAVM session and voting procedures for both demat and physical shareholders are included in the AGM notice.

Mandatory Electronic Dividend Payments

Pursuant to recent amendments in the Listing Regulations, REC Limited has discontinued dividend remittance via physical instruments such as cheques or warrants. All dividend payments will now be made exclusively through electronic mode. Shareholders must update their bank account details to ensure seamless credit:

Special Window for Physical Securities

In accordance with the SEBI Circular dated January 30, 2026, a special window for the transfer and dematerialization of physical securities has been opened from February 5, 2026, to February 4, 2027. This applies to physical securities sold or purchased prior to April 1, 2019. The window also covers previously rejected or pending transfer requests due to document deficiencies. Eligible shareholders are requested to submit their requests along with requisite documents to the company's RTA.

What This Means for Shareholders

The shift to exclusive electronic dividend payments eliminates the risk of lost or stolen cheques but places the onus on shareholders to maintain updated banking information. Failure to update details may result in delayed dividend credits. Additionally, the special transfer window offers a critical opportunity for holders of old physical shares to regularize their holdings, which is essential for participating in future corporate actions and ensuring proper KYC compliance.