New Delhi: Adani Power said on Monday that the timeline for completion of the Rs 7,017-crore deal to acquire thermal power assets of DB Power Ltd has been extended by one month till November 30. "The parties (Adani Power and DB Power) to the proposed transaction have mutually agreed to extend the long stop date as 30th November 2022, or achieving the closing/completion," a BSE filing stated.
Earlier in August this year, Adani Power had informed the bourses that it has agreed to acquire DB Power Ltd (DB Power), which owns and operates a running 2×600 MW thermal power plant at district Janjgir Champa in Chhattisgarh.
The DB Power has long and medium-term power purchase agreements for 923.5 MW of its capacity, backed by fuel supply agreements with Coal India Ltd (CIL), and has been operating its facilities profitably.
The initial term of the MoU (memorandum of understanding) shall be till October 31, which may be extended by mutual agreement, it had stated.
The enterprise value of the DB Power was estimated at Rs 7,017 crore, subject to adjustments on the closing date, it had told.
DB Power is engaged in the business of establishing, operating and maintaining a thermal power generating station in Chhattisgarh. It was incorporated on October 12, 2006 under the Registrar of Companies, Gwalior.
The turnover of DB Power during last 3 financial years has been recorded at Rs 3,488 crore (for FY 2021-22); Rs 2,930 crore (for FY 2020-21) and Rs 3,126 crore (for FY 2019-20), respectively.
The DPPL (Diliigent Power Pvt Ltd) is the holding company of DB Power.
The DPPL was incorporated on 13th May 2010 under the jurisdiction of the Office of the Registrar of Companies, Gwalior, Madhya Pradesh.
(With PTI inputs)
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