Adani Power Secures Letter Of Intent For Vidarbha Industries Power Acquisition

Adani Power Limited (APL) announced on Monday that it has secured a Letter of Intent (LOI) for the acquisition of Vidarbha Industries Power Limited.

The company was selected as the successful resolution applicant under the Corporate Insolvency Resolution Process (CIRP) of Vidarbha Industries Power.

Adani Power confirmed in a stock exchange filing that its resolution plan had received approval from the Committee of Creditors.

APL in its filing noted, “The Committee of Creditors of Vidarbha Industries Power, a company undergoing Corporate Insolvency Resolution Process under the Insolvency and Bankruptcy Code 2016, has approved the Resolution Plan submitted by Adani Power.”

The company further mentioned that it received the Letter of Intent from the Resolution Professional on 24 February 2025.

The completion of the acquisition remains subject to necessary approvals from the National Company Law Tribunal (NCLT), Mumbai, and other regulatory bodies.

Adani Power will implement the resolution plan in accordance with the terms outlined in the LOI and applicable legal requirements.

Vidarbha Industries Power Overview

Vidarbha Industries Power operates a 2×300 MW thermal power plant located in Nagpur’s MIDC Industrial Area.

Adani Power recently reported a 7.4% rise in net profit for Q3 FY25, reaching Rs 2,940 crore compared to Rs 2,738 crore in the same quarter last fiscal.

Consolidated EBITDA grew 23% to Rs 6,185 crore from Rs 5,009 crore in Q3 FY24, driven by higher one-time income.

Earlier this month, Crisil Ratings upgraded Adani Power’s long-term bank facilities rating to ‘Crisil AA/Stable’ from ‘Crisil AA-/Positive’.

Additionally, the agency assigned a ‘Crisil AA/Stable’ rating to the company’s proposed Rs 11,000 crore non-convertible debentures (NCDs).

Global brokerage Jefferies also initiated coverage on Adani Power with a buy rating and a target price of Rs 660, projecting a 30% upside from current levels.

Also Read: Adani Group To Invest Rs 1.1 Lakh Crore In Madhya Pradesh; Eyeing 1.2 Lakh Jobs By 2030