Adani Transmission Ltd. (ATL) acquires 100% stake of KEC International Limited in KEC Bikaner Sikar Transmission Pvt. Ltd.
Ahmedabad, February, 2019.
Adani Transmission Ltd (ATL), the largest Power Transmission & Distribution Company in the private sector in India, has acquired 100% stake of KEC International Limited in KEC Bikaner Sikar Transmission Private Limited having operational transmission lines aggregating ~ 344 ckt kms at an Enterprise Value of INR 227.5 Crore. The share purchase agreement for this acquisition was signed in November 2018. This acquisition is in sync with ATL’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 the state of 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 optimization, shared resources and will fortify its position of being the largest private sector transmission company in the country.
Brief Overview of the Asset:
KEC Bikaner Sikar Transmission Private Limited project comprises of 400 kV D/C transmission line between Bikaner and Sikar with a total length of 344 ckt kms in the state of Rajasthan. The project was awarded through competitive bidding process and was commissioned in December 2017 – the asset has been in successful operation since then.
Mr. Anil Sardana, Managing Director & CEO, Adani Transmission Ltd commented “We are delighted to announce the completion of acquisition of KEC Bikaner Sikar Transmission Private Limited. This has 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. Adani Transmission Limited is committed to provide state of the art technology and facilitate benchmark performance of its assets for the benefit of the grid operations and reliable customer services.”