Adani Energy Solutions Ltd (AESL) announced on Thursday the successful completion of its acquisition of Essar Transco Ltd for a total enterprise value of ₹1,900 crore, following the receipt of necessary approvals.
The acquisition, which was initiated with agreements signed in June 2022, encompasses the purchase of Essar Transco’s fully operational 400 kV, 673 circuit kilometres inter-state transmission line connecting Mahan in Madhya Pradesh to Sipat pooling substation in Chhattisgarh. Adani Transmission Step Two Ltd (ATSTL), a wholly owned subsidiary of Adani Energy Solutions, executed the acquisition. As a result, Essar Transco now operates as a wholly owned subsidiary of ATSTL, further cascading down to become a step-down wholly owned subsidiary of Adani Energy.
According to AESL, this strategic acquisition is in alignment with the company’s value-added growth strategy, capitalising on both organic and inorganic opportunities. With the completion of this transaction, AESL’s cumulative network expands to 21,182 circuit kilometres, with 18,109 circuit kilometres operational and an additional 3,073 circuit kilometres under various stages of execution. The enhanced scale of operations enables Adani Energy to realise synergies through optimised operation and maintenance costs and resource sharing across its expanded network. This moves underscores Adani Energy’s commitment to driving efficiency and growth in India’s energy transmission sector, further solidifying its position as a key player in the country’s infrastructure landscape. As Adani Energy integrates Essar Transco into its portfolio, the company is poised to leverage its strengthened network to meet the evolving energy needs of India, contributing to the nation’s economic growth.
