UP-based Meja Urja Nigam Private Limited has received a financial assistance of Rs 250 crore from Punjab National Bank (PNB), a company official said Friday.
The amount will be utilised towards financing the existing loans, its Additional General Manager (AGM) Amit Rautela told PTI.
Meja Urja Nigam Private Limited (MUNPL) has tied up with PNB for a short-term loan of Rs 250 crore. It has been raised with the objective of minimizing the financing cost of the company, which will ultimately result in passing the benefit to all the beneficiaries and stakeholders, he said.
“The company is going very aggressive in optimizing all the costs associated with the plant and this tie-up with PNB will definitely go a long way in strengthening the business association of MUNPL with PNB,” MUNPL CEO Anil Kumar said.
MUNPL is a 50:50 joint venture (JV) of state-owned NTPC Limited and Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited (UPRVUNL). Its Meja Thermal Power Plant (MTPP) located about 45 km from the Prayagraj district, is Uttar Pradesh’s first supercritical power plant.
The JV was incorporated in 2008, to set up a 1,320 megawatt (with 2X660 MW units) coal-based plant at Meja, which is under commercial operation since January 2021.
During FY 2021-22, the company has achieved a net profit of Rs 278 crore. Electricity generated by MUNPL is supplied to several states and Union territories (UTs) through the grid.
The loan facility agreement was executed on Thursday by Ashok Kumar Sinha, Head of Finance, MUNPL and R K Singh, AGM of PNB in presence of other senior executives of both the parties.