Adani Power upper circuit: Adani Power share price jumps 5% as Reliance picks stake in company’s MP project

Adani Power upper circuit: Adani Power share price jumped 5 per cent to hit its upper circuit on Monday, April 1, after Reliance Industries (RIL) picked a stake in the company's MP project. Adani Power share price opened at ₹547.70 against its previous close of ₹533.70 and soon jumped 5 per cent to hit its upper circuit level of ₹560.35 on BSE.

Adani Power share price jumped following its announcement on Mukesh Ambani's Reliance Industries picking up a 26 per cent stake in a Madhya Pradesh power project of Gautam Adani, and signing a pact to use the plants' 500 MW of electricity for captive use.

Reliance will pick up five crore equity shares in Mahan Energen, a wholly owned subsidiary of Adani Power, of face value ₹10 at par ( ₹50 crore).

Also Read: First Ambani-Adani pact: RIL picks 26% stake in Adani Power's MP project; deal pegged at ₹50 crore between rival firms

Besides, in a separate BSE filing, the company also announced the consortium financing arrangement of ₹19,700 crore.

"... the company has consolidated the standalone term loan facilities of the SPVs into a single long-term rupee term loan facility of ₹19,700 crore under a consortium financing arrangement comprising eight lenders. The revised arrangement will allow the company to benefit from uniform terms and greater financial flexibility in addition to reducing the effective rate of interest," Adani Power said in an exchange filing.

Adani Power share price has been on a roll in the last one year. 

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Adani Power share price hit its 52-week high of ₹589.30 on December 6 last year and its 52-week low of ₹185.10 on April 19 last year. At the current market price of ₹560.35, the stock is up over 200 per cent from its 52-week low.

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