Adani Energy Solutions Completes Acquisition of Essar’s Mahan-Sipat Transmission Assets for Rs 1,900 Crore

Adani Energy Solutions announced on Thursday that it has completed the acquisition of Essar’s Mahan-Sipat Transmission assets for an enterprise value of Rs 1,900 crore.

According to the company statement, Adani Energy Solutions Ltd (AESL) has acquired a 100 per cent stake in Essar Transco Limited after obtaining the required regulatory and other approvals.

The acquisition covers a fully-operational 400 kV, 673 circuit kilometer inter-state transmission line linking Mahan in Madhya Pradesh to the Sipat pooling substation in Chhattisgarh.

The project operates under the Central Electricity Regulatory Commission (CERC) regulated return framework and was commissioned on September 22, 2018. Adani Transmission Step Two Ltd, a wholly-owned subsidiary of Adani Energy Solutions, has acquired 100 per cent stake in Essar Transco Ltd for Rs 1,900 crore.

This acquisition will consolidate AESL’s presence in central India with 4 operating assets having 3,373 circuit kilometers in the region. The financing for the acquisition is provided solely by MUFG Bank Ltd.