![Gautam Adani considering bidding for Anil Ambani's coal-fired power plants under auction: Report Gautam Adani considering bidding for Anil Ambani's coal-fired power plants under auction: Report](https://www.indiablooms.com/finance_pic/2023/8e5c9c296073b716c4e924a54dcce995.jpg)
Gautam Adani considering bidding for Anil Ambani's coal-fired power plants under auction: Report
New Delhi: Billionaire Gautam Adani is contemplating a bid for the coal-fired power plants owned by Anil Ambani, who is facing financial difficulties, Bloomberg reported.
The power plants are presently being auctioned by an NCLT.
Adani, who recently completed a capital raising of $2.8 billion, may face strong competition in acquiring Vidarbha Industries Power Ltd., the company operating the 600-megawatt generation facilities located in central India, the report said citing anonymous sources.
One of the sources mentioned that Anil Ambani’s Reliance Power Ltd. is also contemplating making a bid for the asset with the aim of regaining control of the company.
However, discussions are still ongoing, and both Adani and Reliance Power have the option to decide against proceeding with formal offers, as per the sources.
If Adani successfully acquires the power plants, the assets would contribute to his expanding portfolio of coal power projects.
This move comes as the conglomerate endeavours to recover from a significant blow dealt by Hindenburg Research in January, which resulted in a sharp decline in the group's market value, surpassing $150 billion at one point.
The potential auction of Vidarbha Industries to another company would indicate a further decline for Ambani, who was once a billionaire but has been embroiled in long-standing battles with creditors and engaged in a bitter succession dispute with his elder brother Mukesh, who is Asia's wealthiest individual.
On the other hand, Adani is exploring opportunities to expand his primary fossil fuel ventures.
Meanwhile, according to sources, Bain Capital and Carlyle Group Inc. are among the potential bidders for a controlling stake in Adani Capital, his shadow bank. Adani is seeking to preserve cash and concentrate on his key businesses by considering such divestments, the report said.
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