Adani Power cancels ₹70.2 bn Chhattisgarh-based coal plant acquisition

The DB Power buyout, which currently operates a 2x600 MW coal-fired power plant in Janjgir Champa district in Chhattisgarh, was expected to expand Adani Power's offerings and operations in the thermal power sector in the state.

Adani Power has clarified the stock exchanges that it has called off its plan to acquire a coal plant project in central India and there is no further development in this matter. (ALSO READ: Adani Transmission to announce debt refinancing plans in a few weeks: Report)

Seven listed companies of Adani have together lost some $125 billion in market value since the Hindenburg report. (File/Reuters)

In August 2022, Adani Power agreed to take control of DB Power at an enterprise value of ₹70.2 billion ($850 million). The acquisition was approved by the country's competition regulator a month later.

Amid the media reports that Adani Power had cancelled the acquisition of the coal plant, Adani Power informed both the stocks exchanges -- BSE and NSE -- on Tuesday that it was not going ahead with the acquisition. (ALSO READ: Adani against bid for stake in power trader PTC India: Report)

The Adani Group company and DB Power mutually agreed not to proceed with the transaction after a long-stop date expired on February 15. DB Power operates a 1.2-gigawatt coal power project in the Indian state of Chhattisgarh.

The DB Power buyout, which currently operates a 2x600 MW coal-fired power plant in Janjgir Champa district in Chhattisgarh, was expected to expand Adani Power's offerings and operations in the thermal power sector in the state.