Lanco Infratech breached the 5% upper circuit at Rs.8.95 right after the opening bell and this was after yesterday, it was locked at the lower 5% circuit at Rs.8.53 the moment it opened for trading.

The stock is reacting today to the news that Adani Power will be acquiring Lanco Infratech’s 1200 MW Udupi thermal plant. This deal will fetch Lanco around Rs.6000 crore and this includes a debt component of Rs.4000 crore. Thus Lanco, post this deal will receive around Rs.2000 crore in cash and the market is happy that Lanco’s debt will come down to that extent.