Adani Energy Solutions on Thursday said it has completed the acquisition of Essar's Mahan-Sipat Transmission assets for an enterprise value of Rs 1,900 crore.
The share acquisition is pursuant to definitive agreements signed in June 2022, a company statement said.
According to the statement, Adani Energy Solutions Ltd (AESL), has acquired a 100 per cent stake in Essar Transco Limited after obtaining the requisite regulatory and other approvals for an enterprise value of Rs 1,900 crores.
The acquisition covers a fully-operational 400 kV, 673 ckt kms (circuit kilometre) inter-state transmission line linking Mahan in Madhya Pradesh to the Sipat pooling substation in Chhattisgarh.
The project operates under the Central Electricity Regulatory Commission (CERC) regulated return framework and was commissioned on September 22, 2018.
Adani Transmission Step Two Ltd, a wholly-owned subsidiary of Adani Energy Solutions has acquired 100 per cent stake in Essar Transco Ltd for Rs 1,900 crore. This establishes a new benchmark for AESL to raise capital and unlocks the lower-cost debt for its operational assets.
MUFG Bank Ltd is the sole lender for the financing. The acquisition of the Mahan-Sipat transmission network will consolidate AESL's presence in central India with 4 operating assets having 3,373 ckt km in the region.
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