The Hindu Business Line, was the first to report last week that Tata Power was likely to acquire BP’s stake in Tata BP solar.
Private power player in India Tata Power Co. Ltd. announced the signing of share purchase agreement with BP Alternative Energy Holdings Ltd. to purchase their 51 percent equity and preference shares in the joint venture – Tata BP Solar India Ltd. On completion of transaction, Tata Power will own 100 percent of the company.
Before completing the transaction, the company has to obtain approvals from the Reserve Bank of India and The Competition Commission of India.
Tata Power and BP have agreed that the company will continue to enjoy access to certain BP technology until 2013. The company and BP will enter into a technology agreement to give effect to this understanding.
To provide for a smooth transition in respect of branding and fulfillment of re-certification requirements for solar PV modules, Tata Power and BP have agreed or a transition period for product and non-product related re-branding and certification.