Adani Power gains on getting NCLT`s nod to acquire Lanco Amarkantak Power
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Adani Power is currently trading at Rs. 677.50, up by 3.65 points or 0.54%, from its previous closing of Rs. 673.85 on the BSE.
The scrip opened at Rs. 685.50 and has touched a high and low of Rs. 689.00 and Rs. 676.00 respectively. So far 289331 shares were traded on the counter.
The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 896.75 on 03-Jun-2024 and a 52 week low of Rs. 289.30 on 26-Oct-2023.
Last one week high and low of the scrip stood at Rs. 706.50 and Rs. 671.05 respectively. The current market cap of the company is Rs. 261519.74 crore.
The promoters holding in the company stood at 72.71%, while Institutions and Non-Institutions held 16.16% and 11.13% respectively.
Adani Power has received National Company Law Tribunal (NCLT) Hyderabad bench approval to acquire Lanco Amarkantak Power (LAPL) for an upfront payment of Rs 4,101 crore. LAPL is undergoing the Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code. The acquisition shall be subject to the satisfaction of conditions precedent mentioned under the resolution plan.
The company will acquire 100 per cent shareholding in the LAPL for a cash consideration. LAPL owns and operates a 2x300 MW (600 MW) thermal power plant (Phase-I) at Pathadi Village in Korba District of Chhattisgarh. It has 2.784 MMT of long-term fuel supply agreement with Coal India's subsidiary South Eastern Coalfields (SECL).
LAPL is also setting up a 2x660 MW (1320 MW) expansion capacity under Phase II. The acquisition is to be completed within 60 days from the date of the National Company Law Tribunal's approval order by October 20, 2024.
The object of the LAPL, being the generation of power, is on the same line as the main line of the company's business. Successful acquisition and implementation of the resolution plan for the acquisition of LAPL will advance company's position as India's leading private sector power producer, with a combined operational power generation capacity of 15,850 MW.
Adani Power is engaged in the business of generation, accumulation, distribution and supply of power and to generally deal in electricity and to explore, develop, generate, accumulate, supply and distribute or to deal in other forms of energy from any source whatsoever.
