 3i Group acquires 10% in Adani Power, to invest $227mPublished on Thu, Oct 25, 2007 at 14:48 | Source : Moneycontrol.com Updated at Thu, Oct 25, 2007 at 16:10 13869 Investors following Adani Enterpris. Share this News with them.
Adani Enterprises will hold 90% in the power arm post stake sale. Adani Power is presently developing a 2,640-mw coal power plant in Gujarat.
Desai said the company plans to set up a 1,300-mw power generation plant in Maharashtra and scale up its power capacity to 5000-6000 mw in the next five years.
Excerpts from CNBC-TV18's exclusive interview with Ameet H Desai: Q: Outline the expansion plans that you have because 2,640 mw power project is on the anvil right now and this investment values your business at about USD 2 billion? A: The valuation is something that we are not talking about. There is also Anil Ahuja, Co-Head South Asia, 3i, here with me on this call and we would not want to comment on valuations. The fact is that 3i has invested USD 227 million in the power venture of Adani, i.e. Adani Power. This is the 100% subsidiary of Adani Enterprises which is the listed entity of the group. We have 2,640 mw currently being implemented at Mundra thermal power plant on an imported coal base. We have plans to set up a 1,300-mw power generation plant in Maharashtra at Tiroda. We have started work on this project already and are looking at a few other opportunities of setting up power generation plants. We are connecting this Mundra power generation facility through a above 400-km dedicated transmission line, where by the power plant will be connected to the national grid. The vision of group chairman Gautam Adani is to set up about 5000-6000 mw of generation capacity over the next five years.
Q: Would it be fair to say that this is first in a series of private placements that you could be doing for Adani Power? A: Well this is the first. Whether we will do a series of them entirely depends upon how the business strategy followed by the financial strategy follows. Q3: Would you also be looking at an IPO in the near future say within the next 6-9 months? A: It is very hard to comment on plans at this stage. But we are keeping all our options open. We are evaluating all financing options for this business and remain extremely committed and encouraged by this particular sector. Q: Is there a lock-in period on this stake holding? A: We are not going into specifics of the deal including valuations. But all shareholding in any company will be subject to the rules as and when the company gets into IPO mode.
PREVIOUS STORY Trending NewsBusiness News
|
News BREAKING NEWS FY12 GFCF Up 5.5% (YoY) IN CONSTANT PRICES  The latest earning numbers FIRST on CNBC-TV18
Videos
Interviews
 May 31 2012, 10:31 | Source: CNBC-TV18  May 31 2012, 10:29 | Source: CNBC-TV18  Subscribe to Moneycontrol Newsletters |
||||||
Ameet H Desai
