Lenders approve JSW Energy’s resolution plan for Ind-Barath’s 700 MW power plant1 min read . Updated: 14 Oct 2019, 07:15 PM IST
- Ind-Barath owns a 700 megawatts (MW) under-construction thermal power plant located in Odisha
- JSW Energy did not disclose the financial details of its resolution plan.
MUMBAI : JSW Energy Ltd, the power generation business of Sajjan Jindal’s JSW group, on Monday said that a committee of creditors overseeing the insolvency resolution of Ind-Barath Energy (Utkal) Ltd, has approved a resolution plan submitted by the company.
Ind-Barath owns a 700 megawatts (MW) under-construction thermal power plant located in Odisha.
“The closure of the transaction shall be subject to the receipt of necessary regulatory approvals including from the National Company Law Tribunal," JSW Energy said in a filing to stock exchanges.
JSW Energy did not disclose the financial details of its resolution plan.
The Orissa-based Ind-Barath is the second thermal power plant that JSW Energy is looking to acquire.
On 7 October, the company informed exchanges that it has entered into exclusive talks with GMR Energy Ltd for buying out its thermal power plant GMR Kamalanga Energy Ltd.
Located in Dhenkanal district of Odisha, GMR Kamalanga Energy is a 1050 megawatt (MW) coal based power plant that has fuel linkages with Mahanadi Coal Fields, one of the major coal producing subsidiaries of Coal India Ltd. The plant is strategically located close to the coal belt and has a 15% untied capacity to benefit from the merchant market, according to the company’s website.
The plant also has a long term power purchase agreement with Grid Corporation of Odisha, Uttar Haryana Bijli Vitran Nigam, as well as Bihar State Electricity Board.
For the quarter ended 30 June, the Kamalanga plant had sales of ₹554.3 crore, earnings before interest, tax, depreciation and amortization (EBITDA) of ₹171 crore and losses of ₹33 crore.
JSW Energy and Adani group have emerged as the only two private sector buyers of distressed thermal power plants in the country.
In August, Adani Power acquired 52.38% stake in GMR Chhattisgarh Energy Ltd from its consortium of lenders at an enterprise valuation of about ₹3,530 crore. The plant owns and operates a 1,370 MW (2 X 685 MW) power plant at Raikheda village in Raipur.