Adani Power announced on February 24 that it has received a letter of intent (LoI) for the acquisition of Vidarbha Industries Power Ltd (VIPL) from the resolution professional overseeing VIPL’s insolvency process under the Insolvency and Bankruptcy Code 2016. The Committee of Creditors of VIPL has approved the resolution plan submitted by Adani Power.
VIPL, based in Maharashtra, owns and operates a 2×300 MW (600 MW) thermal power plant located in the MIDC Industrial Area, Butibori in Nagpur. The implementation of the resolution plan is contingent upon the terms of the LoI and requisite approvals from the National Company Law Tribunal, Mumbai, and other regulatory authorities or courts as applicable.
Despite the acquisition news, Adani Power’s stock reacted negatively, with shares down 1.23 percent, trading at Rs 472.75 on February 24 at 13:30 pm on NSE.
