Meanwhile, the company's board in its meeting held on Thursday (11 February 2021) approved the proposal for taking over of 2% equity share of PTC India in Chenab Valley Power Projects (CVPPPL) [a joint venture company between NHPC (49%), Jammu and Kashmir State Power Development Corporation Limited (49%) and PTC (2%)] by NHPC subject to approval of Ministry of Power, Government of India.

NHPC is buying 40,80,000 equity shares of CVPPPL held by PTC amounting to Rs 4,08,00,000 at book value i.e. Rs 4,18,87,140 (as on 30 September 2020). Hence, the above transaction is considered as related party transaction. Subsequently, CVPPPL will become subsidiary of NHPC.

NHPC is engaged in electric power generation by hydroelectric power plants. The firm is also engaged in contracts, project management and consultancy works. As of 31 December 2020, the Government of India held 70.95% stake in the company.