Published On: Mon, Mar 29th, 2021

Adani Transmission to acquire Warora-Kurnool Transmission for $460m

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Adani Transmission Limited (ATL) has agreed to acquire Ltd. (WKTL) from Essel Infraprojects Limited (EIL) for INR 33.7 billion ($460 million) in cash.

Warora-Kurnool Transmission Ltd. is responsible for developing and maintaining transmission lines totaling nearly 1,750 ckt km.

The project comprises two 765 kV inter-state transmission lines that connect the Maharashtrian city of Warora to the city of Warangal and Chilakaluripeta to Kurnool (both in Andhra Pradesh) through , with a new 765/400 kV sub-station at Warangal to be built and operated as a part of the agreement.

According to Adani Transmission Limited, the transmission project was won via a competitive bidding process on a build, own, operate, maintain basis. It has a concession life of 35 years.

The agreement has been signed after consent by Central Electricity Regulatory Commission (CERC) for substitution of the original awardee in the contract by Adani Transmission Limited, for full ownership in Warora-Kurnool Transmission Ltd.

Adani Transmission to acquire Warora-Kurnool Transmission for $460m

Adani Transmission to acquire Warora-Kurnool Transmission for $460m. Photo courtesy of fancycrave1 from Pixabay.

Adani Transmission Limited stated: “The acquisition of WKTL will bolster ATL’s pan- presence, consolidating further its position as the largest private sector transmission company in India.

“This strategic West to South 765KV 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 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.”

The deal is expected to be wrapped up in a month, subject to all the required regulatory approvals and other consents.

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