India's JSW Energy set to acquire KSK Mahanadi Power Company

India's JSW Energy is set to acquire the bankrupt KSK Mahanadi Power Company Ltd., or KMPCL, after having received a letter of intent under the corporate insolvency resolution process of the Insolvency and Bankruptcy Code, 2016, the company said Jan. 13 in a statement published in a regulatory filing on Bombay Stock Exchange website.

The offer at Rupees 15,985 crore ($1.85 billion) to financial creditors, reportedly surpassed that of Adani Power and state-run NTPC.

The acquisition is subject to approvals from the Committee of Creditors as well as regulatory approvals from both the National Company Law Tribunal and the Competition Commission of India, the statement further said.

KMPCL, located in the state of Chhattisgarh in central India, owns a 3,600-MW thermal power plant utilizing domestic coal. 1,800 MW of the plant is presently operational while an additional 1,800 MW under construction, with 40% of it completed, the statement added.

The Chhattisgarh-based power plant also has a firm arrangement for water and coal transportation for its entire 3,600 MW.

The company's total locked-in thermal generation capacity stands at 7.5 GW and total locked-in generation capacity stands at 28.2 GW. JSW Energy aims to achieve its target of 20 GW significantly before 2030.

"Strategically located near a coal block, the plant boasts PPA tie-ups and efficient operations, ensuring a reliable power supply," JSW Energy Joint Managing Director and CEO Sharad Mahendra said.

According to the latest data from the coal ministry, India's coal-based power generation experienced a year-over-year growth of 2.77% in December 2024, reaching 107.14 GW.

In the same month, India's overall power generation also saw a rise of 5.24% year over year, totaling 141.83 GW.

Additionally, domestic coal dispatch to the power sector for December amounted to 76.04 million mt, reflecting a growth of 5.03% year over year.