JSW Energy, controlled by billionaire Sajjan Jindal, has bought two hydro power projects of debt-ridden Jaiprakash Power Ventures Ltd (JPVL) in Himachal Pradesh, for Rs 9,700 crore.
The two projects bought by JSW Energy are 300 MW Baspa-II and 1,091 MW Karcham Wangtoo.
"The company has concluded the acquisition of 100 per cent of the securities of Himachal Baspa Power Company Ltd. (HBPCL) which has two operating Hydro Power assets -300 MW Baspa-II Hydro electric project (HEP) and 1,091 MW Karcham Wangtoo HEP," JSW Energy said in a statement.
Besides, JSW Energy has also entered into a binding agreement with JPVL to acquire 500 MW Bina thermal power plant in Madhya Pradesh.
"JPVL has also entered into a binding MoU with JSW Energy for sale of 100 per cent stake of its 500 MW Bina Thermal Power Plant to JSW Energy, " JPVL said in a statement.
Besides, JPVL has concluded the sale of securities of HBPCL to JSW Energy at an enterprise value of Rs 9,700 crore, including Rs 300 crore which is payable upon receipt of certain additional consents and approvals related to the Karcham Wangtoo HEP.
"The acquisition helps in diversifying the power generation portfolio with high hydro power assets, besides increasing the share of long-term PPA (power purchase agreement) in our basket," JSW Energy Chairman and Managing Director Sajjan Jindal said in a statement.
"We plan to acquire Bina Power project, that will further strengthen the business model of JSW Energy and also enhance our capacity to over 5,000 MW," he said.
