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Adani Transmission jumps on concluding acquisition of Alipurduar Transmission

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Adani Transmission spurted 5.31% to Rs 383.95 after the company said it completed acquisition of Alipurduar Transmission from Kalpataru Power Transmission for an enterprise value of around Rs 1300 crore.

Adani Transmission (ATL), India's largest private sector power transmission company, has acquired 49% stake in Alipurduar Transmission from Kalpataru Power Transmission (KPTL) with agreement to acquire balance 51% after obtaining requisite regulatory and other approvals and in a manner consistent with transmission service agreement. The share acquisition is pursuant to definitive agreements signed in July 2020.

The acquisition is in sync with ATL's strategy to enhance the value for its stakeholders, through organic as well as inorganic opportunities. With this acquisition, the cumulative network of ATL will reach more than 15,400 ckt kms, out of which more than 12,200 ckt kms (including this asset) is operational and more than 3,200 ckt kms is under various stages of execution.

Alipurduar Transmission operates transmission lines aggregating to around 650 ckt kms in West Bengal and Bihar. Element 1 of the project consisting of the transmission line from Alipurduar to Siliguri was commissioned on 20 Jan 2020 and Element 2 of the project consisting of the transmission line from Kishanganj to Darbhanga was commissioned on 6 March 2019.

Meanwhile, Kalpataru Power Transmission slipped 0.87% to Rs 313.45 on BSE. The scrip hovered in the range of Rs 312 to Rs 318.25 so far.

Adani Transmission's consolidated net profit slipped 7.1% to Rs 214.13 crore on 16.9% decline in net sales to Rs 2,156.19 crore in Q2 September 2020 over Q2 September 2019.

Adani Transmission operates as a power transmission company.

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

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First Published: Fri, November 27 2020. 10:49 IST