Mining major Vedanta to acquire debt-ridden Athena Chhattisgarh Power
Jul 08, 2022
New Delhi [India], July 8 : Mining major Vedanta will fully acquire the debt-ridden power generation company Athena Chhattisgarh Power in a cash deal worth Rs 564.67 crore. It made the announcement on Thursday in a regulatory filing to the stock exchanges.
Athena Chhattisgarh Power is a 1200 megawatt coal-based power plant located at Jhanjgir Champa district in Chhattisgarh. Unit 1 and Unit 2 of the company are 80 per cent and 30 per cent complete, respectively, and have never been operational.
Athena was admitted under the Corporate Insolvency Resolution Process on May 15, 2019, and on May 13, 2021, the NCLT Hyderabad bench had directed the initiation of the liquidation process of the Company.
The acquisition will fulfill the power requirement for Vedanta Aluminium Business by providing a cost advantage pertaining to power consumption.
The proposed acquisition is expected to be completed by the financial year 2023.
At 10.53 a.m. Friday, the shares of Vedanta traded at Rs 225.55, down 0.9 per cent from the previous close.
