Qatar fund to buy 25% in Adani Electricity for Rs 3,200 crore
MUMBAI: Qatar’s sovereign wealth fund will buy 25.1% in Adani Electricity, which supplies power to large parts of Mumbai, for Rs 3,200 crore ($450 million).
The deal, which also includes quasi-equity loans, values Adani Electricity at Rs 12,800 crore. The transaction is expected to be completed in early 2020 after obtaining regulatory nod. Billionaire Gautam Adani got into the Mumbai power distribution play by acquiring the business from Anil Ambani. Adani purchased the power business for Rs 13,251 crore last year.
The Mumbai power distribution business is owned by the publicly listed Adani Transmission, in which the promoters hold 75%. Of the 75%, 44% is pledged with financial institutions, filings with stock exchanges showed. Shares of Adani Transmission also closed at Rs 342, up nearly 2% on the BSE on Wednesday.
