GAUTAM ADANI is considering making an offer for a coal-fired power plant owned by troubled Indian businessman Anil Ambani, which is presently being auctioned by lenders, Bloomberg reported.
The report added that Ambani’s Reliance Power may also make an offer for Vidarbha Industries Power Ltd to take back control.
The plant operates the 600-megawatt generation facility in central India.
The sale of Vidarbha Industries to another company would mark another decline in the stature of Ambani, a once-billionaire who has been engaged in a prolonged struggle with creditors.
If Adani wins the plant, it would contribute to the expanding portfolio of coal power firms within the group.
This move comes as Adani endeavors to bounce back from the significant blow it suffered in January, when Hindenburg Research report caused the group’s market value to plummet by over $150 billion at one stage.
According to Bloomberg, deliberations are ongoing and Adani and Reliance Power could decide not to proceed with formal offers.
The report added that Adani is considering expansion of his primary fossil fuel ventures.
Meanwhile, Bain Capital and Carlyle Group Inc. are among interested parties considering to bid bid for majority stake in Adani Capital, his non-banking financial company (NBFC).
This strategic move aims to preserve cash and prioritise Adani’s core businesses, Bloomberg report added.
