Adani Group in discussions with Jaypee for buying hydel projects

Written by PTI | New Delhi | Updated: Jul 26 2014, 00:50am hrs
AdaniSources said Adani Group Chairman Gautam Adani has already held talks with Jaypee Group.(Reuters)
Adani Group is in talks with diversified Jaypee Group for acquiring some of its hydro projects in a deal worth over Rs 11,000 crore.

Besides, Sajjan Jindal-led JSW Energy is discussing the possibility of acquiring some thermal assets of Jaypee Group, industry sources said.

According to them, Adani Group is in discussions for purchasing Jaypee Group's hydel projects, having total capacity of 1,700 MW, including two in Himachal Pradesh.

The deal is estimated to be worth over Rs 11,000 crore, including debt component, sources said.

The projects being eyed by Adani Group include 1,000 MW Karcham-Wangtoo and 300 MW Baspa II -- both are in Himachal Pradesh.

Sources said Adani Group Chairman Gautam Adani has already held talks with Jaypee Group Executive Chairman Manoj Gaur in this regard.

The discussion comes against the backdrop of TAQA pulling out of the deal to acquire Jaypee's two hydro projects.

When contacted, an Adani Group spokesperson said it would not like to comment on any market speculation. A Jaypee Group spokesperson declined to comment.

At present, Adani Power -- part of Adani Group -- has an installed generation capacity of 8,580 MW. The proposed acquisition would help it to expand its portfolio as well as diversify into hydro sector.

On Thursday, Jaypee Group announced that Abu Dhabi National Energy Company (TAQA) was withdrawing from the nearly Rs 10,000 crore deal to acquire Karcham Wangtoo and Baspa II hydel projects.

TAQA India Power Ventures Ltd has decided to withdraw from its agreement with Jaiprakash Power Ventures Ltd (JPVL).

Meanwhile, sources said that JSW Energy has expressed interest in the thermal power generation assets of Jaypee Group.

Query send to JSW Energy did not elicit any response while Jaypee Group spokesperson declined to comment.