Debt cloud over Mundra Power

Adani Power's board to discuss an option this week, in wake of adverse SC order on compensatory rate

Adani Power has met its debt repayment obligations thus far but might need to do more to ensure it remains so. 

“Concerns do remain, as the compensatory tariff (rate) order (on its Mundra project, disallowing a higher one for a higher imported coal price) has been a dent on its financials,” said an analyst tracking the company, who did not wish to be identified. 

He noted the equity infusion by its promoters in 2016-17 had helped the company meet its debt obligation – they’d infused close to Rs 1,700 crore. There’s been no indication to analysts of any plan to