Positive: Essar Power: Expansion Plans

Essar Power plans to invest INR 20,000 crore to scale up its power generation capacity by 4,800 mw to 6,000 mw in three years. The company is in the process of raising Rs 15,000 crore in debt for financing four power projects — from banks and PFC - for three thermal plants and a co-generation plant — that the group will build by 2012. Equity contribution will be INR 5000 cr. Debt:Equity ratio of 3:1. PPAs have being signed. Fuel-linkages have been finalized with coal mines in Indonesia. Current capacity of company is 1200 MW. Big Positive.