Adani Group on Friday said its power transmission arm has acquired KEC Bikaner Sikar Transmission Pvt Ltd, which owns power transmission lines in Rajasthan, at an enterprise value of Rs 227.5 crore.
With this acquisition, Adani Tranmission Ltd now has around 13,450 circut kilometers (ckt km) of power transmission lines.
"Adani Transmission Ltd (ATL), the largest power transmission and distribution company in the private sector in India, has acquired 100 per cent stake of KEC International Ltd in KEC Bikaner Sikar Transmission Pvt Ltd having operational transmission lines aggregating 344 ckt km at an enterprise value of Rs 227.5 crore," the company said in a statement.
The share purchase agreement for this acquisition was signed in November 2018.
The acquisition, it said, was in sync with the company's strategy to enhance value for its stakeholders through organic as well as inorganic opportunities.
Also with several other ATL transmission lines and substations in Rajasthan, there would be synergy advantages.
"With the completion of this acquisition, the cumulative network of ATL will reach around 13,450 ckt kms, out of which around 10,355 ckt kms are under operation and the balance 3,095 ckt kms, are under various stages of construction.
"With this scale of operations, ATL will enjoy substantial benefits in terms of cost optimisation, shared resources and will fortify its position of being the largest private sector transmission company in the country," the statement said.
KEC Bikaner Sikar Transmission project comprises of 400 kV D/C transmission line between Bikaner and Sikar in Rajasthan. The project was awarded through competitive bidding process and was commissioned in December 2017 the asset has been in successful operation since then.
Anil Sardana, Managing Director & CEO, ATL said the acquisition "further consolidated our position in the state of Rajasthan with an operating base of transmission lines aggregating to 1,375 ckt kms and multiple substations.
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