Tata Power eyes stake sale in renewable power arm

Looks at three options to raise Rs 3,500 crore to reduce its Rs 42,000-crore debt

To bring debt to a manageable level, Tata Power is looking at three options to raise funds. One option is to sell up to 30 per cent stake in its renewable power firm, after it merged its own renewable power portfolio with Welspun Renewable Energy, which it had acquired in June 2016.

According to a banking source, under the second option, Tata Power is planning to raise funds by selling part of its equity in Welspun’s assets. Raising funds via a rights issue is another option. 

The firm is even open to selling stake to a strategic partner at the