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Two companies bid for Lanco Amarkantak Power

Monday, 19 Oct 2020
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Vedanta and a Hyderabad-based investment company have bid for Lanco Amarkantak Power.

The bidders have made offers raging from Rs 2,000 crore to Rs 3,000 crore each to take over the stressed power plant located in Chhattisgarh.

The bids are being evaluated for legal compliance before negotiations are opened up.

A group of 17 lenders had advanced about Rs 14,000 crore to the power company. Five of them – Axis Bank, Power Finance Corporation, Edelweiss ARC, Life Insurance Corporation of India and IDBI Bank -- accounted for more than half of those loans.

Lanco Amarkantak Power, which was incorporated in February 2001, has coal-fired thermal power units on 1,337 acre of land near Pathadi village on the Korba-Champa state highway in Chhattisgarh.

The project has two units of 300 MW each that currently supply electricity to Madhya Pradesh, Haryana and Chhattisgarh. Phase-II of two units of 660 MW each has been delayed beyond the targeted commissioning in 2016-17.

Work on Phase-III to add two more units of 660 MW each has not started.


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