Shares of Adani Power were gaining on Tuesday after the firm announced the formation of a new subsidiary.

What Happened: The Adani Group firm is incorporating Adani Power Middle East in Abu Dhabi, the company said in a press release on Monday. The newly formed investment holding company has been set up with an authorised capital of 27,000 shares, each valued at $1, with Adani Power holding the entire share capital in the unit.

The incorporated subsidiary aims to invest in power, infrastructure and related fields, the company added in the filing.

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Last week, the firm also received an approval from the National Company Law Tribunal (NCLT) to acquire Lanco Amarkantak Power Limited (LAPL), which is currently undergoing a corporate insolvency resolution process.

The deal will be an all-cash transaction, with an upfront payment of ₹4,101 crore and is likely to be wrapped up within 60 days from the issuance of the NCLT's approval order.

Separately, the Gautam Adani-owned power firm is dealing with unpaid dues of around $800 million (₹6,705 crore) from Bangladesh, Bloomberg News said on Friday.

The outstanding debt for electricity provided by Adani Power’s coal-fired plant in Godda, Jharkhand, India, was confirmed by Ahsan H Mansur, the newly appointed Governor of Bangladesh Bank, during an interview with Bloomberg.

Price Action: Adani Power rose 1.19% higher to trade at ₹669.20 as markets opened on Tuesday.

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