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JSPL acquires Monnet Power for Rs 410 cr through insolvency process

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& Power (JSPL) has through the insolvency resolution process acquired Company for a consideration of Rs 410 crore.


Naveen Jindal-led last month won the bid for Monnet Power, which has a 1050 MW under-construction plant in Odisha’s Angul. The full consideration of Rs 410 crore was paid on Wednesday.


was admitted for the corporate insolvency resolution process (CIRP) in 2018 after proceedings were instituted by the IDFC Bank. In 2019, the (NCLT) ordered liquidation as there was no resolution plan. Monnet’s bank debt was about Rs 3,819 crore.


The power plant would be used for captive use and it will consume 20-25 per cent less coal, said Kapil Mantri, head of strategy at .


Monnet’s power plant is very close to the Angul steel plant of . “Moreover, JSPL’s coal blocks, Utkal C, B1 and B2, are also close by. Apart from reducing the carbon footprint, this plant will also significantly reduce energy cost,” said Mantri.


JSPL, it may be mentioned, is on course for expansion in Angul. The company’s proposal to increase capacity to 25.2 million tonnes per annum (mtpa) was cleared by the Odisha government last year. Currently, the capacity at Angul is about 6 mtpa.

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