Vedanta to acquire Athena Chhattisgarh Power for Rs564.67 crore; stock marginally down

8 Jul 2022 , 09:17 AM

Vedanta Limited informed that it shall be undertaking the acquisition of ‘Athena Chhattisgarh Power Limited’.

The acquisition will meet the power requirements of Vedanta Aluminium Business and add synergies through vertical integration by providing a cost advantage in terms of power consumption.

The acquisition is expected to be completed in FY23.

Under this acquisition, Vedanta will acquire 100% paid-up share capital of Athena Chhattisgarh Power Limited for a purchase price of Rs564.67 crore.

Athena is a 1200MW power plant located in the Jhanjgir Champa district of Chhattisgarh, India, 80 kilometres from BALCO and 180 kilometres from Jharsuguda. The plant has 2 units of 600MW each.

Because Unit 1 and Unit 2 are only 80% and 30% complete, respectively, the Company has never been operational.

The Plant is well connected to national highways and railway stations, and it is also close to its water source, the Mahanadi River, and its fuel source. 

Vedanta Ltd is currently trading at Rs226.70 down by Rs1 or 0.44% from its previous closing of Rs227.70 on the BSE.