Adani Transmission to buy Essar Power's Transmission Project - Wire & Cable India
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Adani Transmission to buy Essar Power’s Transmission Project

“The acquisition of Essar’s transmission asset will consolidate ATL’s presence in central India. With this acquisition, ATL is well on the path to achieve its 20,000 ckt km target before time”, says Mr. Anil Sardana, MD & CEO, Adani Transmission.

June 16. 2022

Adani Transmission

Adani Transmission Ltd. (ATL) has inked a definitive agreement with Essar Power Ltd. (EPL) regarding the acquisition of 673 ckt km operational inter-state power transmission project of Essar Power Transmission. The enterprise value for the deal is INR 1,913 crore.

In the words of Mr. Anil Sardana, MD & CEO, Adani Transmission Ltd., “The acquisition of Essar’s transmission asset will consolidate ATL’s presence in central India. With this acquisition, ATL is well on the path to achieve its 20,000 ckt km target before time. We continue to remain at the forefront of grid stability and provide sustainable, reliable, and affordable energy solutions while creating long-term sustainable value for our stakeholders.”

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The proposed transaction will be executed through transaction steps which shall be subject to necessary regulatory approvals and other consents. The acquisition is in line with ATL’s value-added growth strategy through organic as well as inorganic growth opportunities.

After this acquisition, the cumulative network of ATL will stand at 19,468 ckt km, out of which 14,952 ckt km is operational, while 4,516 ckt km is under various stages of execution.

Further, ATL will derive synergies in terms of O&M cost optimisation and shared resources. It will also fortify its position of being the largest private sector transmission and distribution company in the country.

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Mr. Kush S, CEO, Essar Power Ltd., said, “With this transaction, Essar Power is rebalancing its power portfolio with the twin objective of deleveraging its balance sheets and investing in green and renewable power, thereby furthering its ESG-oriented future growth. Essar Power has a current power generating capacity of 2,070 MW across four plants in India and Canada.”