Indian billionaire Mukesh Ambani’s Reliance Industries Limited (RIL) has acquired a 26% stake in Adani Power’s power project in the state of Madhya Pradesh.
The agreement involves the allocation of 50 million equity shares of Mahan Energen Ltd (MEL), a subsidiary of Adani Power, to RIL, each with a face value of Rs10.
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By GlobalDataThis move is part of a strategic pact between the two companies, allowing RIL to use 500MW of electricity generated by the thermal power plant for captive purposes.
The companies have also entered into a 20-year power purchase agreement.
MEL, established in October 2005, is involved in power generation and supply, with its turnover for the past three financial years showing significant growth.
RIL in its stock exchange filing said: “The investment is not a related party transaction and none of the company’s promoters, promoter group or group companies have any interest in the said investment.
“The investment is subject to customary conditions precedent including receipt of requisite approvals by MEL and is expected to be completed within 2 weeks of receipt of completion of conditions precedent and receipt of such approvals by MEL.”
Very recently, Adani Green Energy Limited (AGEL) commissioned a 180MW solar power plant in the state of Rajasthan.
The plant, which has a 25-year agreement with Solar Energy Corporation of India (SECI), is expected to produce 540 million units of electricity annually.
This will power over 110,000 homes and reduce carbon emissions by about 390,000 tonnes. The plant utilises bifacial solar PV modules and horizontal single axis solar trackers (HSAT) to maximise efficiency.
Recently, Mahindra & Mahindra (M&M), an Indian automotive manufacturer, signed a memorandum of understanding with Adani Total Gas’ subsidiary to accelerate the adoption of electric vehicles (EVs) in India.
This partnership aims to develop a comprehensive EV charging infrastructure across the country. Last month, Adani Green Energy also operationalised 551MW solar power capacity in Gujarat.
