Adani Power Board Gives Nod for Delisting from Indian Bourses

The board of Adani Power Ltd (APL), a part of the diversified Adani Group, has provided its consent on the proposal for delisting of the company’s equity shares from the stock exchanges i.e. both from BSE and NSE.

The promoter group collectively holds 289.16 crore equity shares of APL representing 74.97 per cent of the paid-up equity share capital, while, public shareholders hold 96.53 crore equity shares which correspond to 25.03 per cent of the paid-up equity share capital.

The company has worked out the floor price of Rs 33.82 per equity share to buy 96.53 crore shares from the public for about Rs 3,264 crore.

However, the company said it will seek shareholders’ approval for delisting from the two bourses through a postal ballot.

Buoyed by the development, shares of the company closed at Rs 38.20, up 0.53 per cent, from the previous close on the BSE.

Last month, the company had received a letter from Adani Properties Pvt Ltd (APPL), a member of its promoter group, wherein the latter had expressed intention, to acquire all equity shares of the Adani Power, having a face value of Rs 10 each, held by its public shareholders, either by itself or together with other members of the promoter group.

Now, the company’s board has authorised the company to obtain approval of the stock exchanges in accordance with the provisions of the SEBI Delisting Regulations as well as any other regulatory approval as may be required in relation to the delisting proposal.

Meanwhile, the company is the largest private thermal power producer in India, according to the APL website, with a power generation capacity of 12,450 MW comprising thermal power plants in Gujarat, Maharashtra, Karnataka, Rajasthan, and Chhattisgarh and a 40 MW solar power project in Gujarat.

Recently, another arm of Adani Group, Adani Green Energy Ltd (AGEL), won the first of its kind manufacturing linked solar tender from the nodal agency Solar Energy Corporation of India (SECI).

Under the project, the company will build 8 GW of solar projects along with a commitment that will see Adani Solar establish 2 GW of additional solar cell and module manufacturing capacity. This award, the largest of its type, ever, in the world, will entail a single investment of USD 6 billion and is expected to create 4,00,000 direct and indirect jobs. It will also displace 900 million tonnes of CO2 over its lifetime.