Shares of Adani Transmission
surged 10 per cent today as Reliance Infrastructure announced
that it has entered into exclusive talks with the Adani Group
company to sell its Mumbai power business.
The stock zoomed 9.99 per cent to settle at Rs 193.25 --
its highest trading permissible limit and also its 52-week
high -- on BSE.
At NSE, shares of the company jumped 9.99 per cent to
close at Rs 193.15 -- its upper circuit limit.
Shares of Reliance Infrastructure ended almost flat at Rs
477.65, up 0.12 per cent.
In a regulatory filing today, Reliance Infrastructure
said, "It has entered into a period of exclusivity until
January 15, 2018, in relation to discussions for the proposed
sale of its integrated business of generation, transmission
and distribution of power for Mumbai city to Adani
The proposed transaction is subject to confirmatory
diligence, definitive documentation and customary approvals.
"Accordingly, there can be no certainty that a
transaction will result. Further, announcements will be made
at an appropriate stage," Reliance Infra added.
The Anil Ambani-led Reliance Infra intends to utilise the
proceeds of the proposed transaction entirely to reduce its
debt and further strengthen its financial position to tap mega
growth opportunities in defence and EPC (engineering,
procurement, construction) for the infrastructure sector.
According to Adani Transmission, the proposed transaction
will strengthen its footprint in the power transmission sector
and also mark its foray into the distribution space.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)