Adani Transmission to acquire Warora-Kurnool Transmission for Rs 3,370 cr
Adani Transmission Limited (ATL) on Saturday said it has signed an agreement with Essel Infraprojects Limited (EIL) for the acquisition of Warora-Kurnool Transmission Limited (WKTL) for about Rs 3,370 crore.
Adani Transmission, India’s largest private sector power transmission and retail distribution company, said the acquisition is valued at a target of Rs 3,370 crore.
“The regulatory approval for substitution of original awardee in the contract by ATL has already been received from Central Electricity Regulatory Commission,” the company said in an exchange filing.
“The lenders consent and other necessary regulatory approvals shall be obtained before closure of transaction,” it said
With this acquisition, the cumulative network of ATL will reach 17,200 ckt km, out of which 12,350 ckt km is already operational and 4,850 ckt km (including this asset) is in various stages of execution.
With this enhanced scale of operations, ATL will enjoy substantial benefits in terms of cost optimisation and shared resources and will also fortify its position of being the largest private sector transmission company in the country, the company said
Commenting om the development, Anil Sardana, MD and CEO of Adani Transmission said: “The acquisition of WKTL will bolster ATL’s pan-India presence, consolidating further its position as the largest private sector transmission company in India. This strategic West to South 765 KV interconnector with Substation in Southern India, completes ATL presence in all regions of the country.”
“This asset will not only increase ATL’s size and scale but will also take ATL closer to its target of setting up 20,000 ckt km of transmission lines by 2022. The acquisition is a further demonstration of ATL’s drive towards differentiated capability through inorganic growth, successful integration and making such assets value accretive, for long term sustainable value creation for its stakeholders,” Sardana said.
Warora-Kurnool Transmission will develop, operate and maintain transmission lines aggregating to 1,750 ckt km. The 765 kV inter-state transmission line links Warora– Warangal and Chilakaluripeta-Hyderabad–Kurnool with a 765/400 kV new sub-station at Warangal.
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