JSW Energy said on Wednesday it expected to announce a deal by February to buy a thermal power plant as discussions continue for two such plants.
JSW Energy is doing due diligence for Jaiprakash Power Ventures Ltd's Bina thermal power plant in central India, and Monnet Ispat and Energy Ltd's power plant in eastern India.
"We expect to give some news very shortly on one of them by next month," JSW Energy Chief Executive Officer Sanjay Sagar told reporters on Wednesday as the company reported a 15.5 per cent fall in third-quarter net profit.
A deal will take JSW Energy's total power production capacity to more than 5,000 megawatt but will also increase its debt burden.
The company's current net debt of Rs 155 billion ($2.3 billion), or a debt to equity ratio of 1.8, was "comfortable", said finance chief Pramod Menon, although it may need to raise fresh capital after an acquisition.
($1 = Rs 67.9912 )