JSW Energy, a unit of JSW Group, has terminated the deal to acquire the 500MW thermal power plant located at Bina, District Sagar in the Indian state of Madhya Pradesh from Jaiprakash Power (JP) Ventures.
The Bina power asset acquisition deal has been called off by JSW Energy due to lapse of time for completion of the transaction. The long-stop agreement date had expired last month.
In a BSE stock exchange filing, JSW Energy said : “The consummation of this transaction was subject to fulfillment of certain conditions precedent.
“We now wish to inform you that with the elapsing of the Long Stop Date, the proposed acquisition of the Bina project stands terminated.”
In July 2016, JSW Energy signed a deal to acquire the Bina power plant from JP power for Rs27bn ($424.9m).
The deal, which was planned to be completed by May 2017, was subject to certain conditions including approval from the Competition Commission of India and the Government of Madhya Pradesh.
The company later extended the long stop date for completion of the deal from May 2017 to December 2017.
The acquisition was a part of JSW Energy’s effort to diversify its geographical footprint and fuel sources.
Commissioned in April 2013, the Bina power plant features two units each with 250MW capacity. The power plant was acquired by Jaiprakash Power Ventures from Aditya Birla Group.