JP Power shares surge 28% in 2 days, Adani Power hits fresh 52-week high amid optimism around stake acquisition

Shares of Jaiprakash Power Ventures (JP Power) jumped another 7% on Friday, extending gains to a whopping 28% over just two sessions, while Adani Power shares hit a fresh 52-week high amid optimism over the latter's stake acquisition in the former. Last week, Adani Power said it has signed definitive agreements with Jaiprakash Associates (JAL) to acquire a 24% stake in Jaiprakash Power Ventures Limited (JPVL) along with the 180 MW Churk thermal power plant in Uttar Pradesh under the NCLT-approved resolution plan for JAL.

• The Adani Group company said it entered into a share purchase agreement to acquire JAL’s 24% stake in JPVL for around Rs 2,994 crore.
• Adani Power shares, meanwhile, gained more than 2% to hit a fresh 52-week high of Rs 254 apiece on Friday.
• The Adani Group last Thursday paid around Rs 6,000 crore to lenders of debt-ridden Jaiprakash Associates as the first tranche of its Rs 14,535 crore resolution plan, marking a key milestone in one of the longest-running insolvency cases.

Watch next: This was a big day for lenders because they will receive a large amount after such a long delay," a person aware of the development told The Economic Times.