Adani Power Ltd., the flagship company of Adani Group in a regulatory filing informed that it would be buying the thermal power assets of DB Power Limited (DBPL) owned by Dainik Bhaskar Group. Total valuation of the thermal power assets of DBPL is around INR 7,017 Crore.
Assets of DB Power to be Acquired by Adani Power
DB Power Ltd. was incorporated in October 2006 and currently owns and operates a 2×600 MW coal-fired power plant in Janjgir-Champa district of Chhattisgarh. DB Power has also signed long and medium-term power purchase agreements for 923.5 MW of the total 1,200 MW capacity of the aforementioned power plant. DB Power has also done fuel supply agreements with Coal India Ltd. for continuous supply of Coal to its Janjgir plant.
Adani Power also added that the plant has been operating profitability in the past few years. DB Power posted an annual turnover of Rs.3,488 crore in FY22 which was a 19.04% jump from the previous year’s Rs.2,930 crore in FY21.
Adani Power to Expand its Portfolio with DB Power’s Chattisgarh Plant Acquisition
Adani Power is currently the largest private power producer in India with its total installed thermal power capacity nearing 12,450 MW (excluding DB Power Plant). The company stated that the acquisition of DB Power Chattisgarh Plant will help Adani Power expand its offerings and operations in the thermal power sector in Chhattisgarh.
Adani Power in August 2019 acquired GMR Chhattisgarh Energy Ltd. (GCEL), which owns and operates a 1,370 MW (2 X 685 MW) Supercritical power plant at Raikheda village, in Raipur District of Chhattisgarh.
Both these plants are strategically located close to CIL’s Coal mines in Chattisgarh which makes availability of Coal cheaper and faster for these plants.
About Adani Power: Adani Power Ltd., a subsidiary of Indian conglomerate Adani Group, is a power generation company with head office at Khodiyar in Ahmedabad, Gujarat. The company posted annual revenue of INR 31,686 crores in FY-22.