Adani Power Extends Timeline To Acquire DB Power Till Nov. 30

Adani Power on Monday said that the timeline for completion of the Rs 7,017-crore deal to acquire thermal power assets of DB Power Ltd. has been extended by one month till Nov. 30, 2022.

"The parties (Adani Power and DB Power) to the proposed transaction have mutually agreed to extend the long stop date as Nov. 30, 2022, for achieving the closing/completion," a BSE filing stated.

Earlier in August this year, Adani Power had informed the bourses that it has agreed to acquire DB Power, which owns and operates a running 2x600 MW thermal power plant at Janjgir Champa district in Chhattisgarh.

The DB Power has long and medium-term power purchase agreements for 923.5 MW of its capacity, backed by fuel supply agreements with Coal India Ltd., and has been operating its facilities profitably.

The initial term of the MoU shall be till Oct. 31, 2022, which may be extended by mutual agreement, it had stated.

The enterprise value of the DB Power was estimated at Rs 7,017 crore, subject to adjustments on the closing date, it had told.

DB Power is engaged in the business of establishing, operating and maintaining a thermal power generating station in Chhattisgarh. It was incorporated on Oct. 12, 2006 under the Registrar of Companies, Gwalior.

The turnover of DB Power during last three financial years has been recorded at Rs 3,488 crore (for financial year 2021-22); Rs 2,930 crore (for financial year 2020-21), and Rs 3,126 crore (for financial year 2019-20), respectively.

Diliigent Power Pvt. Ltd. is the holding company of DB Power.

DPPL was incorporated on May 13, 2010 under the jurisdiction of the Office of the Registrar of Companies, Gwalior, Madhya Pradesh.

Disclaimer: Adani Enterprises is in the process of acquiring a 49% stake in Quintillion Business Media Ltd., the owner of BQ Prime.