Adani Power Limited (BSE:533096) signed an agreement to acquire Udupi Power Corporation Limited from Lanco Thermal Power Limited for approximately INR 60 billion on August 13, 2014. Under the terms of the agreement, the consideration includes cash payment of INR 20 billion and debt assumption of INR 40 billion by Adani Power Limited. Udupi Power had total assets of INR 88.9 billion, revenues of INR 30.1 billion and profit after tax of INR 1.2 billion for the year ended March 31, 2014. As of September 30, 2014, an amount of INR 1.2 billion has been paid as advance consideration. As on October 31, 2014, the Competition Commission of India approved the deal. The deal is still subject to consent of lenders and creditors.

Adani Power applied Delhi High Court for restraining Lanco Infratech Limited (BSE:532778), parent of Lanco Thermal Power Limited from selling its shares in Udupi Power. Adani informed Delhi High Court that out of the 18 secured lenders, Lanco provided purported consents from only seven, despite which Adani gave its purchaser undertaking agreeing to re-pledge the released shares back with the lenders promptly after closing the deal. As on January 20, 2015, Delhi High Court dismissed Adani Power Ltd's plea seeking to restrain Lanco Infratech Ltd from selling its shares in Udupi Power stating that both the parties need to initiate arbitration proceedings, as per the agreement between them, to settle their dispute. As on February 10, 2015, the Bombay Stock Exchange had sought clarification from Adani Power Ltd with respect to news appearing in Times of India on February 10, 2015. Adani Power Ltd replied to the query stating that the transaction is under process. Adani Power has signed an amended and restated purchase agreement and has modified some of the terms of transaction with the deal value for acquisition of 100% shares of UPCL expected to remain same. The deal is still subject to receipt of all required approvals and is likely to conclude in March 2015. Macquarie Capital Limited and SBI Capital Markets Limited acted as financial advisor for Adani Power. Yashwant Mathur, Namrata Vishwanath, Esha Pruthi, Abhyudai Singh and Shridha Malhotra of AZB & Partners acted as legal advisors for Lanco Infratech Limited. HSA Advocates replaced AZB & Partners as legal advisors for Lanco Infratech. Abhishek Bhalla, Shubhi Sharma, Navin Syiem and Harsh Arora at HSA Advocates acted as legal advisor to Lanco Thermal Power Limited. Cyril Shroff and Shaneen Parikh at Amarchand & Mangaldas & Suresh A Shroff & Co. acted as legal advisor to Adani. ICICI Securities Limited acted as the financial advisor to Lanco Infratech Limited.

Adani Power Limited (BSE:533096) completed the acquisition of Udupi Power Corporation Limited from Lanco Thermal Power Limited on April 20, 2015.