NCLT approves Adani Power’s acquisition of Essar Power MP
New Delhi: The National Company Law Tribunal (NCLT), Delhi principal bench has approved the resolution plan submitted by Adani Power Limited for acquisition of Essar Power MP Ltd (EPMPL), a company undergoing insolvency resolution under the Insolvency and Bankruptcy Code.
In June 2021, Adani Power said in a regulatory filing that, the Committee of Creditors of EPMPL had approved the Resolution Plan submitted by Adani Power Limited.
Pursuant to this approval, the Resolution Professional appointed by NCLT had issued a Letter of Intent dated 17th June 2021 to the Company.
EPMPL owns a 1,200 MW thermal power plant in Singrauli Dist., Madhya Pradesh.
Last year, ICICI Bank, the financial creditor of EPMPL, had approached the NCLT for initiation of Corporate Insolvency Resolution Process (CIRP) under section 7 of the Insolvency and Bankruptcy Code. In September 29, the Tribunal admitted the application of ICICI and appointed it the interim resolution professional (IRP). The IRP had constituted a committee of creditors (CoC) and invited Expression of Interest (EOI) for submission of resolution plan.
Companies like Vedanta Limited, Adani Power, JSPL and NTPC had made it to the final list of PRA. However, only two companies Adani Power and Vedanta had submitted their resolution plans. Last May, the CoC approved the resolution plan of Adani Power, which had offered the highest amount of Rs.2600 crore for the acquisition.