JSW Energy is a part of the JSW Group headed by Sajjan Jindal
JSW Energy is a part of the JSW Group headed by Sajjan Jindal

JSW Energy acquires GMR Kamalanga Energy Ltd for Rs 5,321 crore

ANI | Updated: Feb 17, 2020 17:35 IST

Mumbai (Maharashtra), Feb 17 (ANI): JSW Energy said on Monday it has signed a share purchase agreement with GMR Kamalanga Energy Ltd (GKEL) to acquire its 100 per cent stake for Rs 5,321 crore.
On October 7 last year, JSW Energy led by billionaire industrialist Sajjan Jindal had reported entering into exclusive discussions with GMR Energy for a potential acquisition of its subsidiary GKEL.
GKEL owns and operates a 1,050 megawatt (3 x 350 MW) coal-based thermal power plant located at Dhenkanal in district Kamalanga of Odisha. Its revenue from operations as on March 31 last year totalled Rs 2,195 crore.
The plant is strategically located close to the coal belt and has 15 per cent untied capacity to take advantage of the merchant market.
It has fuel linkages with Mahanadi Coal Fields, a subsidiary of Coal India Ltd, and a long-term power purchase agreement with Grid Corporation of Odisha, Uttar Haryana Bijli Vitran Nigam as well as Bihar State Electricity Board.
After the acquisition, JSW Energy's total installed power generation capacity will increase to 5,609 MW.
"This will expand the company's presence in eastern region of the country and further diversify its fuel mix and offtake arrangements," it said in a statement.
"The strategic location in coal-rich belt of Talcher will ensure low-variable cost, thereby placing the plant favourably in merit order dispatch and ensure healthy dark spread for balance open capacity," he added.
JSW Energy generates 4,541 MW of power per year of which 3,140 MW is thermal, 1,391 MW is hydropower and 10 MW is solar.
It is the holding company for JSW Group's power business having consolidated operational capacity of 4.5 gigawatt as of March 31, 2019.
The company also provides operation and maintenance services for power plants of the group companies and project management services for the power plants being set up by the group.
(ANI)

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