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Adani Energy Solutions Subsidiary Acquires Essar Transco for 1,900 Cr.

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Adani Transmission Step-Two Limited (ATSTL), a wholly-owned subsidiary of Adani Energy Solutions Limited (AESL), has successfully acquired 100% equity in Essar Transco Limited (ETL). This acquisition, which has an enterprise value of Rs. 1,900 crore, was finalized on 15th May 2024, as per Adani Energy Solutions’ stock filing dated 16th May 2024.

The initial agreements for this acquisition were signed by the companies in June 2022.

Adani Acquires 673 Km Long Mahan-Sipat Transmission Line

Essar Transco’s assets acquired by Adani Transmission Step-Two include a fully functional 673 circuit Km, 400 KV inter-state transmission line, connecting Mahan in Madhya Pradesh to Sipat pooling substation in Chhattisgarh. Commissioned in September 2018, this project operates as per Central Electricity Regulatory Commission (CERC) regulations.

Essar Transco’s Acquisition Strengthens Adani Energy Solution’s Transmission Network in Central India

About the importance of acquiring Mahan-Sipat line to Adani Energy Solution’s portfolio, the company’s release clarifies, “The acquisition of Mahan-Sipat transmission network will consolidate AESL’s presence in central India with 4 operating assets having 3,373 ckt Km in the region”.

Further, Essar Transco’s acquisition has expanded AESL’s pan-India transmission network to 21,182 circuit Km. Out of this, 18,109 circuit Km is currently operational and 3,073 circuit Km is under various stages of execution.

In the context of this acquisition, Adani Energy Solutions’ release stated, “The acquisition is in line with the Company’s value-added growth strategy through organic as well as inorganic growth opportunities”.

Major Transmission Projects Executed by Adani Energy in FY-24

In its stock filing dated 30th April 2024, Adani Energy Solutions mentioned major transmission projects undertaken during FY-24. These projects include commissioning of a 765 KV transmission line connecting Warora in Maharashtra to Kurnool in Andhra Pradesh. The company has also completed laying of a 765 KV transmission line spanning 218 circuit Km, connecting Khavda pooling station to Bhuj pooling station. This transmission line was designed to evacuate 3 GW of Renewable Energy (RE) from Khavda RE park. Further, another major project commissioned by Adani Energy Solutions during 2023-24 is the 400 KV Kharghar-Vikhroli double circuit transmission line, which is the ‘first-ever high voltage 400 KV connection in Mumbai’ as per the company.

About Adani Energy Solutions Limited: Adani Energy Solutions Limited, a part of Adani Group, was established in 2013. The company is headquartered in Ahmedabad, Gujarat and is operating in over 17 states.