Gautam Adani-led Adani Power has agreed to buy the thermal power assets of DB Power for nearly Rs 7,017 crore enterprise valuation.
DB Power has 2 units of 600 MW each of thermal power in Janjgir-Champa district, Chattisgarh.
Adani Power said the acquisition will help the company to expand its offerings and operations in the thermal power sector in the state of Chhattisgarh.
The proposed transaction is subject to receipt of approval from the Competition Commission of India and any other approvals as may be identified following the due diligence exercise to be conducted with respect to Adani Power and DB Power.
Currently, 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, and has been operating its facilities profitably.
The turnover of DB Power during last three financial years was Rs 3,488 crore (for FY 2021-22); Rs 2,930 crore (for FY 2020-21) and Rs 3,126 crore (for FY 2019-20).