Lenders Approve Adani Power’s Acquisition of GMR Chhattisgarh
GMR Chhattisgarh has stepped out of the bankruptcy courts.
Adani Power Ltd. on Tuesday said it will acquire GMR Chhattisgarh Energy Ltd. as the consortium of lenders has approved its resolution plan.
GMR Chhattisgarh's consortium of lenders, led by Axis Bank Ltd., has issued a Letter of Intent dated June 24, 2019, approving Adani Power's resolution plan to acquire a controlling equity stake and restructure debt in GMR Chhattigarh, Adani Power said in a regulatory filing.
"Post the transaction, Adani Power Ltd. shall hold 100 percent equity stake in GMR Chhattisgarh. Of this, 52.38 percent stake is to be acquired from the lenders, and the balance 47.62 percent is to be acquired from the GMR Group," it said.
GMR Chhattisgarh owns an operational 1.370 megawatt supercritical thermal power plant in Raikheda of Raipur district in Chhattisgarh. The plant consists of two units of 685 MW each, commissioned in June 2015 and April 2016 respectively.
"Successful acquisition of GMR Chhattisgarh and Korba West Power Company will consolidate Adani Power's position as India's leading private sector thermal power producer with a combined thermal power capacity of 12,410 MW,” Adani Power said.
This (the GMR acquisition) reaffirms Adani Power’s credentials in development and operation of greenfield projects, and also successfully turning around brownfield acquisitions," it added.