Kenya’s $736 Million Transmission Line Deal Scrapped, But Adani Claims No Material Effect on Operations
Adani Energy Solutions has stated that the recent cancellation of a $736 million transmission line project in Kenya will not have any material impact on the company’s operations. The company confirmed that this development falls within the “ordinary course of business” and does not necessitate any additional disclosures to the Indian stock exchanges.
The clarification came in response to an inquiry from the Bombay Stock Exchange and the National Stock Exchange, following reports that Kenya’s president, William Ruto, had ordered the termination of a 30-year public-private partnership for the transmission project.
Kenya Project Cancellation Not Expected to Affect Business
In its official statement, Adani Energy Solutions assured that the cancellation of the transmission line deal in Kenya would not affect its business operations in any significant way. The company emphasized that the decision does not require any special disclosure or action under stock exchange regulations.
Additional Project Cancellations Linked to Adani Group
In addition to the energy project, President Ruto also announced the cancellation of a separate procurement process that would have granted the Adani Group control over Kenya’s main international airport. This move has added to the scrutiny surrounding the Adani Group’s international ventures, including a multi-billion-dollar project to expand the airport.
Airport Deal Not Involved with Adani Energy Solutions
Adani Energy Solutions further clarified that it was not involved in the airport deal in Kenya. The company confirmed that neither it nor any of its subsidiaries had entered into any contracts related to the management or development of Kenya’s Jomo Kenyatta International Airport.
Legal Troubles for Adani Group Persist
Meanwhile, the Adani Group is facing legal challenges in India, where U.S. authorities have indicted founder Gautam Adani and several others over allegations of bribery, totaling $265 million. The group has denied these allegations, maintaining that they are without merit.
