Adani Power is set to invest nearly Rs 4,194 crore to acquire a significant stake in Jaiprakash Power Ventures Ltd (JPVL) along with thermal power assets linked to Jaiprakash Associates’ insolvency resolution process.
As part of the transaction, the company will purchase a 24 per cent stake in JPVL through the acquisition of over 1,644 crore equity shares valued at approximately Rs 2,993 crore. The deal is aligned with the National Company Law Tribunal-approved resolution plan for Jaiprakash Associates.
The acquisition package also includes the 180 MW Churk thermal power plant located in Uttar Pradesh’s Sonbhadra district, along with Jaiprakash Associates’ holding in Prayagraj Power Generation Company Ltd and associated assets. The thermal assets transaction is estimated at around Rs 1,200 crore.
Following completion of the process, Jaiprakash Associates will cease to remain the promoter of JPVL. The acquisition is expected to strengthen Adani Power’s generation portfolio and expand its footprint in the thermal power sector.