A Letter of Intent (LOI) to purchase Vidarbha Industries Power Limited was received by Adani Power Limited (APL) on Monday.

According to Vidarbha Industries Power Ltd.’s Corporate Insolvency Resolution Process (CIRP), the power company was chosen as the winning resolution applicant.

The Adani Group business disclosed in its stock market filing that the Committee of Creditors has approved Adani Power’s resolution plan.

“The Committee of Creditors of Vidarbha Industries Power, a company undergoing Corporate Insolvency Resolution Process under the Insolvency and Bankruptcy Code 2016, has approved the Resolution Plan submitted by Adani Power,” the document said.

The company further said that on February 24, 2025, the Resolution Professional (RP) sent APL a Letter of Intent in this respect.

The National Company Law Tribunal (NCLT), Mumbai, and other regulatory bodies must provide the required permissions before this deal may be completed.

The conditions stated in the LOI and any relevant legal requirements will guide the implementation of the resolution plan.

Two 300 MW thermal power plants in Nagpur’s MIDC Industrial Area of Butibori are owned and run by Vidarbha Industries Power.

In the third quarter of FY25, Adani Power’s net profit increased by 7.4% to Rs 2,940 crore from Rs 2,738 crore in the same time the previous fiscal year (FY24). Thanks to greater one-time income, consolidated EBITDA for Q3 FY25 increased by 23% to Rs 6,185 crore from Rs 5,009 crore in Q3 FY24.

Crisil Ratings raised its assessment of Adani Power Ltd.’s (APL) long-term bank facilities from “Crisil AA-/Positive” to “Crisil AA/Stable” earlier this month. A ‘Crisil AA/Stable’ rating has also been given by the international credit rating agency to Adani Power’s proposed non-convertible debentures (NCDs) worth Rs 11,000 crore.

With a buy rating and a target price of Rs 660, the international brokerage company Jefferies recently started covering Adani Power Limited (APL), representing a 30% increase from current levels.