- The acquisition shall be subject to satisfaction of conditions precedent mentioned under the Resolution Plan, said Adani Power
- According to industry sources, the acquisition of Essar Power’s thermal power project is valued at Rs 2,800-3,000 crore
New Delhi: Adani Power said on Wednesday that the National Company Law Tribunal (NCLT) has given its approval to the company to acquire Essar Power’s 1,200 MW thermal power plant (TPP) in Mahan, Madhya Pradesh. “In continuation to our letter dated June 18, 2021, this is to inform that the Hon’ble National Company Law Tribunal, Principal Bench at New Delhi (the "NCLT"), has placed on its website on November 02, 2021 its order dated November 01, 2021, approving the resolution plan submitted by Adani Power Limited for acquisition of EPMPL, a company undergoing insolvency resolution under the Insolvency and Bankruptcy Code. EPMPL owns a 1,200 MW thermal power plant in Singrauli Dist., Madhya Pradesh,” said Adani Power in a regulatory filing.
“The above-mentioned acquisition shall be subject to satisfaction of conditions precedent mentioned under the Resolution Plan,” said the filing.
EPML acquisition: Deal valued at Rs 2,800-3,000 crore
According to industry sources, the acquisition of Essar Power’s thermal power project is valued at Rs 2,800-3,000 crore.
The Mahan power plant is a 1,200 MW (2×600 MW) captive coal-fired pithead power plant located in Singrauli district, Madhya Pradesh. Mahan power plant supplies power through the Mahan-Sipat transmission line, which is built by Essar Power Transmission Company which was commissioned in September 2018. The plant is supported by an end-to-end raw material sourcing and evacuation infrastructure. A railway siding 18 km away from the plant facilitates seamless supply of coal and other raw material.
Essar Power Transmission Company Ltd. (EPTCL), an arm of Essar Power, has built a 465-km Inter State Transmission System (ISTS), comprising three transmission lines. The lines span three states — Madhya Pradesh, Chhattisgarh and Gujarat — and connect the Mahan power plant to the Central Grid.
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