Adani Power is in discussions to buy a 600 MW thermal power plant from Reliance Power. The deal is expected to be between ₹2,400-3,000 crore, which means about ₹4-5 crore per MW. This move could help Adani, India’s largest private thermal power producer, take advantage of the growing electricity demand in the country.
The Butibori plant, owned by Vidarbha Industries Power Ltd., a part of Reliance Power, was once valued at around ₹6,000 crore. However, production has stopped, so the plant’s current value is lower. Adani is negotiating with CFM Asset Reconstruction Co. to acquire the plant.
The deal will be funded by Adani’s own resources, and if successful, it would fit perfectly with their strategy to expand thermal power capacity. Adani plans to integrate this plant with their nearby Tiroda coal-based power plant to boost electricity supply in Maharashtra.
Previously, JSW Energy showed interest in the plant but backed out due to concerns over valuation and operations. Adani’s move to buy this plant aligns with their goal of meeting the rising power demands in Maharashtra, especially with the state’s growing need for electricity due to redevelopment projects and new metro lines.
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