Evonith Steel acquires 85 MW IPPL power plant via IBC route
Nagpur-based Evonith Steel has acquired Wardha-based Indrajit Power Pvt Ltd (IPPL), an 85 MW coal-based power producer, for Rs 232 crore through the Insolvency and Bankruptcy Code (IBC) process.
The National Company Law Tribunal (NCLT) approved Evonith Steel as the successful resolution applicant on April 20.
IPPL is located adjacent to Evonith Steel’s integrated steel plant in Wardha. The company said the proximity would help streamline logistics and reduce transmission losses while meeting a significant share of its power requirement at competitive cost, including for planned capacity expansion.
The acquisition is among recent IBC-linked transactions in Vidarbha’s industrial belt, with the power plant expected to supply electricity directly to the adjoining steel complex rather than the open market.
Evonith Steel has an installed steel production capacity of 1.4 million tonnes per annum (mtpa) at Wardha near Nagpur, supported by a captive railway siding.
Evonith Steel chairman Jai Saraf said the acquisition would strengthen the company’s power self-reliance and support uninterrupted operations as it expands production capacity.
Evonith Steel comprises Evonith Metallics Ltd (EML) and Evonith Value Steel Ltd (EVSL). EML supplies hot metal and pig iron to EVSL and third parties, while EVSL manufactures flat steel products including hot-rolled coils, cold-rolled coils, and galvanised coils and sheets. The company also plans to manufacture ductile iron pipes.
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