Ahmedabad: In one of the largest acquisitions in the renewable energy sector in India, Adani Green Energy Limited (AGEL) will acquire a 100 percent stake in SB Energy India from SBG (80 percent) and Bharti Group (20 percent).
The transaction values SB Energy India at a valuation of approximately $ 3.5 billion.
The two parties signed share purchase agreements for the transaction on Wednesday.
SB Energy India has a total renewable portfolio of 4,954 MW spread across four states in India.
The target portfolio consists of large-scale utility assets with 84 percent solar power (4,180 MW), 9 percent wind-solar hybrid capacity (450 MW) and 7 percent wind capacity (324 MW).
The portfolio consists of 1400 MW of solar power capacity and another 3,554 MW is under construction.
All of the projects have 25-year PPAs with sovereign rated counterparties such as Solar Energy Corporation of India Ltd (SECI), NTPC Limited and NHPC Limited.
The current assets that form part of the portfolio are mainly projects based on solar park, and are built according to the best management classes, project development, construction, operating and maintenance practices, which makes it one of the highest quality renewable portfolios in the country. AGEL said in a statement.
With this acquisition, AGEL achieves a total renewable capacity of 24.3 GW and a renewable capacity of 4.9 GW.
This acquisition demonstrates AGEL’s commitment to be a global leader in the transition to sustainable energy and makes it one of the largest renewable energy platforms in the world. The conclusion of the transaction is subject to customary approvals and conditions, the company said.
Gautam Adani, Chairman of Adani Group, said: “This acquisition is another step towards the vision we set out in January 2020, outlining our plans to become the world’s largest solar player by 2025 and thereafter the largest renewable company in the world by 2030. India was, without a doubt, one of the few countries that accelerated its global commitment to climate change, and we intend to do our part to live up to the promises made. come. The renewable energy platform we are building will lay the foundation for attracting several other global industries that increasingly want to reduce their carbon footprint (as well as the foundation for opening adjacent platforms that include hydrogen and storage). ”
‘We are well on our way to reaching our stated target for solar portfolio four years before the deadline we set. The quality of the assets that SoftBank and the Bharti Group have built up is excellent and I compliment their efforts to support the transition to India’s renewable energy. We are proud to take their legacy forward. ”
Sunil Bharti Mittal, Chairman of Bharti Enterprises, said: “I am delighted that SB Energy has found a good home to build its groundbreaking journey to build a leading renewable energy company in India. Adani Group has an excellent record of building a green power that will accelerate with the combination of SB Energy. I am glad that Bharti can play a constructive role in partnership with SoftBank. ”
Masayoshi Son, CEO, Corporate Officer, Chairman and CEO of SoftBank Group Corp, said: “We established SB Energy India in 2015 with the aim of creating a leading clean energy company that will grow India. helps with clean and renewable sources of energy. We are very proud of everything we have achieved. As SBG continues our transition to a global investment firm aimed at accelerating the deployment of artificial intelligence, we believe now is the right time to raise the Adani Group for the next phase of SB Energy To help drive India’s growth. ”
AGEL, part of the India-based Adani Group, has one of the largest global renewable portfolio portfolios, with 19.3 GW of operational, substructure and award-winning projects, and inclusive growth projects that cater to investment grade counterparties.
Source: Telangana Today