According to an Economic Times report, Adani Power is close to acquiring bankrupt power company Coastal Energy for ₹3,440 crore. People with knowledge of the matter said that after two days of intense bidding, Adani Power emerged as the winner late Saturday evening. He said that the other bidder in the race, Jindal Power, had pulled out.
Bidding for Coastal Energen, which is going through corporate bankruptcy, started on Friday afternoon. Gautam Adani got success in the 19th round after 18 rounds of bidding. Sherisha Technologies did not participate in the bidding, while Jindal Power did not place a counter bid in the 19th round.
On behalf of Gautam Adani, along with Dickie Alternative Investment Trust, a bid of Rs 3,440 crore was made. It is being told that many companies were showing their interest in this bid. The main reason for this is that the company has power plants which are in operation.
In such a situation, Sherisha Technologies, Jindal Power and Dickey Alternative were bidding to buy the company which was going through the process of corporate insolvency after the bankruptcy of Coastal Energen. Initially Adani Power had not shown interest in it and had not submitted expression of interest for bidding. However, later the company bid together with Dickey Alternative.
Coastal Energen has two operational power plants in Tamil Nadu. The capacity of both is around 600-600 MW. The better thing is that the company has an active purchase agreement with Tamil Nadu Generation and Distribution Corporation. This agreement is valid till the year 2028.
It is being told that Coastal Energen owes Rs 12,247 crore to its employees and various debtors. That is, the price offered by Adani is only 35 percent of the total debt of the company. However, no official announcement has been made yet by Adani Power regarding this deal.