GMR Power Buys Out IDFC’s Stake in Kamalanga Plant for ₹60 Cr

Synopsis: GMR Power buys IDFC’s 2.37% stake for ₹60 Cr in 1,050 MW Odisha coal plant. Gains near-100% control of steady ₹3,000 Cr revenue asset; simplifies operations.

The company paid ₹60 crore to add 2.37% to its holding moving closer to 100% ownership of a 1,050 MW coal power plant in Odisha. GMR Power & Urban Infra Ltd has quietly tightened its grip on one of India’s largest coal power plants. On March 30, 2026, the company bought a 2.37% stake in GMR Kamalanga Energy Limited (GKEL) from IDFC First Bank for ₹60 crore in cash. The move pushes its total ownership in GKEL close to 100%, giving it near-complete control over the Odisha-based plant.

Shares of GMR Power & Urban Infra stock, which has traded between ₹89 and ₹96 on monday. Markets read the deal as a consolidation positive fewer co-owners means fewer complications in operations and financing.

What is GMR Kamalanga Energy?

GKEL operates a 1,050 MW thermal power plant in Kamalanga, Dhenkanal district, Odisha. The company was set up in December 2007. It runs entirely on coal and sells power to distribution companies under long-term arrangements. Its annual revenue has stayed above ₹2,900 crore for the past three years.

GKEL posted revenue of ₹3,017 crore in FY 2024–25, up slightly from ₹2,955 crore the previous year. Overall, GKEL’s revenue has held steady above ₹3,000 crore over three years signaling a stable but non-growing asset.

Why did GMR buy the stake now?

The seller was IDFC First Bank not a promoter or related party. That means the deal was a clean, arm’s-length transaction between a lender exiting its position and GMR Energy Limited (GEL), a fully-owned subsidiary of the listed company.

“The transaction will consolidate the existing stake of the company in GKEL close to about 100%,” GMR Power stated in its exchange filing. Energy companies often hold minority shareholders as legacies of earlier project financing rounds. As debt gets repaid or lenders rotate out, parent firms routinely buy back those shares. GMR is doing exactly that. The acquisition requires no government or regulatory approvals, which means the process is already complete.

About GMR Power & Urban Infra

GMR Power & Urban Infra is part of the broader GMR Group, founded in 1978 by Grandhi Mallikarjuna Rao. The listed company was incorporated in 2019 and was spun off from GMR Infrastructure Limited in 2021–22. It focuses on power, highways, urban infrastructure, and engineering contracts while the airport business stayed with GMR Infrastructure.

The company currently has over 2,800 MW of operational power capacity. This includes coal plants in Maharashtra and Odisha, plus wind and solar projects in Gujarat and Tamil Nadu. It also has hydro projects under development in Nepal. Beyond power, it manages highway assets across 2,400-plus lane kilometres and builds industrial zones.

What this deal means going forward

Full ownership of GKEL simplifies the capital structure. GMR no longer needs to manage minority stakeholders in that entity. It can direct GKEL’s cash flows, financing decisions, and operations without interference. This matters especially when energy companies are exploring refinancing or seeking project-level debt from banks.

Furthermore, GKEL’s stable revenue base makes it a useful collateral asset. As India continues to expand its power demand driven by manufacturing and urbanization a 1,050 MW plant with consistent output holds strategic value for a company like GMR Power. In short, this small ₹60 crore deal quietly strengthens a much larger position.

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