Adani Power board approves delisting of shares; stock down 3%

Shares of Adani Power dropped over 3 per cent in Monday’s trade after the board approved the proposal to voluntarily delist shares at a floor price of Rs 33.82, which is 11 per cent lower than the previous close.

The scrip traded 3.42 per cent down at Rs 36.70 after the announcement.

In a regulatory filing, billionaire Gautam Adani-led firm said that the board approved the proposed delisting of the firm based on the recommendations from the merchant banker. The company has fixed a floor price of Rs 33.82 per share.

Earlier, promoters of Adani Power intend to buyback all shares of the company and delist it from the bourses.

The company has a power generation capacity of 12,410 megawatts across six states in India. Promoters of the company hold 74.9 per cent stake in the company.

The company earlier said that the proposed delisting will enhance the company's operational, financial and strategic flexibility including its ability to undertake corporate restructurings, acquisitions, exploring new financing structures.

The shares of the company closed 0.53 per cent higher at Rs 38.20 on BSE.