Sajjan Jindal-controlled JSW Energy today said it will acquire Jaypee Group's Bina thermal power plant in Madhya Pradesh even as it concluded previously announced deal to buy the cash-strapped group's two hydropower projects.
While JSW Energy did not disclose what it is paying to buy the 500 megawatt Bina plant, report said it could have agreed to pay as much as Rs 3,500 crore.
"JSW Energy has entered into a binding Memorandum of Understanding (MOU) with Jaiprakash Power Ventures Ltd to acquire 100 per cent stake in the 500 MW Bina thermal power plant located in the Sagar district of Madhya Pradesh," the company said in a statement here.
Also, the company concluded acquisition of Jaypee's two hydropower plants for Rs 9,700 crore. The deal to buy 300 MW Baspa-II and 1,091 MW Karcham Wangtoo projects, both in Himachal Pradesh, were announced in November last year.
"The company has concluded the acquisition of 100 per cent of the securities of Himachal Baspa Power Company Ltd. (HBPCL) which has two operating Hydro Power assets -300 MW Baspa-II Hydro electric project (HEP) and 1,091 MW Karcham Wangtoo HEP," JSW Energy said in a statement.
Besides, JSW Energy has also entered into a binding agreement with JPVL to acquire 500 MW Bina thermal power plant in Madhya Pradesh.
"JPVL has also entered into a binding MoU with JSW Energy for sale of 100 per cent stake of its 500 MW Bina Thermal Power Plant to JSW Energy, " JPVL said in a statement.
Besides, JPVL has concluded the sale of securities of HBPCL to JSW Energy at an enterprise value of Rs 9,700 crore, including Rs 300 crore which is payable upon receipt of certain additional consents and approvals related to the Karcham Wangtoo HEP.
"The acquisition helps in diversifying the power generation portfolio with high hydro power assets, besides increasing the share of long-term PPA (power purchase agreement) in our basket," JSW Energy Chairman and Managing Director Sajjan Jindal said in a statement.
"We plan to acquire Bina Power project, that will further strengthen the business model of JSW Energy and also enhance our capacity to over 5,000 MW," he said.
