As known, the Adani group has signed a purchase agreement on August 18th, 2022 for DB Power and prepared to conclude the deal latest by October 31st, 2022. Despite the fact that the date was extended once, it became four. DB Power’s enterprise value was estimated at Rs.7017 crore, including debt.
India’s competition regulator has approved Adani’s planned bid to acquire DB Power. But as it is quite clear, the last extended closing date was on 15th February,2023. Earlier on Wednesday, Adani Power informed that the date to finish the DB power acquisition had “expired” to stock exchanges.
The DB deal would have been a great opportunity for the Adani Group to spread its presence across the country. Moreover, the deal would have shifted Adani’s position to India’s largest private sector thermal power producer. It would have also given a more significant presence in one of the leading power generating and consuming belts.
The recent progress truly displays how the conglomerate is rioritizing its financial safety and condition rather than incredible growth. Currently, it is retiring debt, recovering pledged shares and is conserving cash to strengthen its balance sheet. Its attempts to calm down the investors who were frightened by Hindenburg’s scary reports on its business practices are seen.