Jindal Power offers $1.68 Billion for Struggling Coal-Based Power Plant, states reports

7 Feb 2024 , 11:40 AM

Jindal Power, a company of India’s Jindal Steel & Power Ltd, has bid ₹140 Billion ($1.69 Billion) for a coal-fired power plant in the eastern area, according to two persons familiar with the matter.

According to a person familiar with the matter, the business has made a financial proposal for the troubled KSK Mahanadi project, which is being pursued by billionaire Gautam Adani’s Adani Power and Anil Agarwal’s London Stock Exchange-listed Vedanta Ltd, among others.

The 1,800-megawatt power plant, developed by KSK Energy Ventures, is one of numerous troubled coal-fired commercial power stations that have gone bankrupt in recent years due to a lack of fuel sources and finances to finish them.

The project was admitted to insolvency proceedings in October 2019, but the court has not summoned any financial bids since.

Jindal Power and Sumit Binani were chosen as the resolution professionals for the KSK Mahanadi power project by the insolvency court.

The unsolicited proposal demonstrates a resurgent interest among Indian private enterprises in coal-fired power facilities.

Private investment in India’s coal-based power has declined since 2018, owing to decreasing demand and the federal government’s aggressive push for renewable energy.

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