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Adani Energy Solutions acquires Essar’s Mahan-Sipat transmission assets for Rs 1,900 crore

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Shillong, May 16: Adani Energy Solutions Ltd (AESL), on Thursday, announced that it has acquired 100 per cent stake in Essar Transco Ltd for Rs 1,900 crore.

The acquisition covers a fully operational 400 kV, 673 ckt kms (circuit kilometres) inter-state transmission line, linking Mahan in Madhya Pradesh to Sipat pooling substation in Chhattisgarh.

“The acquisition of Mahan-Sipat transmission network will consolidate AESL’s presence in central India with four operating assets having 3,373 ckt km in the region,” the company said in a statement.

The acquisition, through AESL’s wholly-owned subsidiary Adani Transmission Step-Two Limited (ATSTL), is consistent with the company’s philosophy of augmenting its existing capacities and bringing in efficiency through operational synergies and creating network effect.

“Along with a robust energy demand, the ability to recognise and tap market opportunities within the areas of interest continues to propel and position AESL at the forefront of energy transition in India,” the company said.

The acquisition takes the cumulative network of AESL to more than 21,000 ckt kms.

For the acquisition, ATSTL also raised financing at the most competitive terms.

“This establishes a new benchmark for AESL to raise capital and unlocks the lower cost debt for its operational assets,” said the company.

AESL is the country’s largest private transmission company, with a presence across 17 states with 57,011 MVA transformation capacity.

It serves more than 12 million consumers in metropolitan Mumbai and the industrial hub of Mundra SEZ.

AESL clocked operational revenue at Rs 14,217 crore for the year ended March 31, up 17 per cent (year-on-year) — registering comparable profit after tax (PAT) at Rs 1,197 crore, up by 12 per cent.

Operational EBITDA was at Rs 5,695 crore for the full year, up 7 per cent YoY. (IANS)

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