Adani Power Secures Competition Commission of India Approval for GVK Energy Acquisition

CCI Approves Adani Power's Acquisition of GVK Energy Ltd

The Competition Commission of India (CCI) has approved billionaire Gautam Adani-led Adani Power Ltd's proposal to acquire GVK Energy Ltd. The acquisition involves the purchase of 100 per cent share capital and control of the target company, GVK Energy Ltd, by Adani Power Ltd.

GVK Energy Ltd, through its subsidiary AHPL, operates a 330 MW hydroelectric power project in Srinagar, Uttarakhand. Adani Power, a private thermal power producer, operates plants across various states, including Gujarat, Maharashtra, Karnataka, Rajasthan, Chhattisgarh, Madhya Pradesh, Jharkhand, and Tamil Nadu, as well as a 40 MW solar power plant in Gujarat.

The CCI approval comes under the Insolvency and Bankruptcy Code, 2016, which was initiated for the corporate insolvency resolution process of GVK Energy Ltd. The regulator has cleared the acquisition in separate releases on social media.

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Comparison of Adani Power and GVK Energy Ltd

In another development, the CCI has cleared the acquisition of a 7.14 per cent stake in Llyods Engineering Works Ltd by Thriveni Earthmovers Pvt Ltd. Thriveni Earthmovers provides contract mining services, including exploration, drilling, mining, excavation, hauling, sizing, processing, and transportation of minerals.

The regulator has also granted approval for the merger of three entities - Lloyds Infrastructure & Construction, Metalfab Hightech, and Techno Industries - into Lloyds Engineering Works Ltd, the surviving entity, after the completion of the amalgamation.

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Llyods Engineering Works Ltd (LEWL) is involved in the design and manufacturing of heavy equipment and machinery for various sectors, including hydrocarbon, naval, defence, steel, power, and marine and construction contracting. The CCI has approved the acquisition and merger in separate releases on social media.

Deals beyond a certain threshold require approval from the regulator, which keeps a tab on unfair business practices and promotes fair competition in the marketplace.