Adani Power to issue shares to promoters, shares gain

Adani Power, the private electricity utility of the Adani Group, has received its board's approval to issue shares to promoters on preferential basis. Shares of the company bounced back on the bourses on Monday on the news.

At the end of the October-December quarter, promoters held 68.32 per cent stake in the company.

The company's board, which met on Saturday, approved issue of 47.86 crore shares to the promoter/promoter group on preferential basis.

Adani Power's shares had plunged 20 per cent in the previous six consecutive sessions following weakness in equity markets. The share had touched its year-high of Rs 73.85 and year-low of Rs 36.80 on April 18, 2012, and August 30, 2012, respectively.

However, the scrip recovered smartly on Monday. Shares of Adani Power were up 1.89 per cent at Rs 40.50 in noon trade at the Bombay Stock Exchange. At the same time, the shares were up 2.66 per cent at Rs 40.50 on the National Stock Exchange.

Adani Power reported a consolidated total income of Rs 1,884 crore for the quarter.

With inputs from PTI