Adani closes KEC’s Transmission asset acquisition deal, buys 100% stake

Industry:    2019-02-11

Adani Transmission Ltd (ATL) announced closure in its acquisition of 100 per cent stake of KEC International Limited in the latter’s transmission asset. In November 2018, both ATL and KEC International had signed a share purchase agreement for the acquisition of the latter’s stake in KEC Bikaner Sikar Transmission Private Limited.

KEC Bikaner Sikar Transmission Private Limited project comprises 400 kV D/C operational transmission lines between Bikaner and Sikar aggregating 344 circuit (ckt) kilometres at an enterprise value of Rs 227.5 crore in Rajasthan. The project was awarded through a competitive bidding process and was commissioned in December 2017 – the asset has been in successful operation since then.

With the completion of this acquisition, the cumulative network of ATL will reach around 13,450 ckt kilometres, out of which around 10,355 ckt kilometres are under operation and the balance 3,095 ckt kilometres, are under various stages of construction.

According to ATL, the company is on track with its strategy to enhance value for its stakeholders through organic as well as inorganic opportunities. The company now hopes to enjoy benefits in terms of cost optimization, shared resources and looks to fortify its position of being the largest private sector transmission company in the country.

“This has further consolidated our position in the state of Rajasthan with an operating base of transmission lines aggregating to 1,375 ckt kilometres and multiple substations,” said Anil Sardana, Managing Director & CEO, Adani Transmission Ltd

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