Adani Power in talks to buy Adhunik Group firm; Adhunik Metaliks rallies 20% intraday, ends 6% up

NEW DELHI: Adhunik Metaliks surged as much as 20 per cent in trade on Wednesday, after ET Now reported late on Tuesday that Gautam Adani's Adani Power is on the prowl and is in advanced talks with Adhunik Group firm Adhunik Power, sources with direct knowledge said.

The stock ended the day at Rs 19.35; up 6.03 per cent, on the BSE.

Deal negotiations are hovering between Rs 3,500 to 4,000 crores which is the expected enterprise value of Adhunik Power, a source shared. Adhunik Metaliks will use the proceeds to re-pay part of the debt pile on its books, added the report.

Adhunik Metaliks, IDFC and SBI Macquarie Infrastructure Fund together own 100% stake in Adhunik Power and are in talks with Adani Power to sell the entire company. Adhunik Power operates 540 MW of power in the state of Jharkhand.

However, when contacted Adhunik Group did not respond to ET NOW's query on this development. Adani Power's spokesperson said, "Do not comment on market speculation."