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Monday, May 5, 2008

Adani Power plans IPO of Rs. 5000/- Crores

Adani group is preparing to come up with a initial public offering (IPO) to raise about Rs 5,000 crore for setup a power generation capacity of close to 10,000 megawatt. The company is drawing investments plans for generating 1,320 mw power in Rajasthan and 2,000 mw at Dahej in Gujarat by 2012. Adani will file the IPO papers with the market regulator SEBI in a week or two's time. SBI Capital has been roped in as one of the merchant bankers.

Adani's 4,620 mw power project at Mundra is being set up in the vicinity of Tata Power's ultra mega power project (UMPP) of 4000 mw. The company is already implementing the project through internal fund generation, debt and private placement of equity with London-based 3i Group Plc.

Adani also owns and operates country's one of the largest and highly mechanised state-of-art-ports at Mundra in Gujarat, which is likely to handle close to 30 mmt of cargo during 2007-08.

The power plants of Adani and Tata at Mundra will be based on imported coal. The coal requirements for these plants will be near 26 mmt. This coupled with other commercial coal imports will make Mundra the world's largest coal receiving terminal with capability to handle over 30 mmt of coal.

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