ReNew Power has acquired a 100 per cent stake in Indian Energy Limited (IEL) at a price of Rs 364 million. The transaction is expected to complete in a period of approximately 60-90 days and the net proceeds from the deal will be used to pay a portion of IEL’s debt. Greenstone Energy Advisors had acted as the exclusive financial advisor to IIP Group for this transaction.
IEL is an independent power producer (IPP) and a wholly-owned subsidiary of Infrastructure India plc (IIP Group). IEL owns and operates wind projects having a total capacity of 41.3 MW installed at two sites in Karnataka and Tamil Nadu. After the completion of the deal, ReNew Power will take ownership of the two project sites which will boost ReNew Power’s operational wind power generation capacity to 1,800 MW.
Backed by a strong and expansive investor base, including Goldman Sachs, the Asian Development Bank, Dhabi Investment Authority, the Global Environment Fund, etc, the company has been acquiring stakes in many of the renewable energy firms and is growing its project base. In December 2017, ReNew acquired a 100 per cent stake in KCT Renewable Energy Private Limited (KCTREPL) for over Rs 10 billion taking ownership of KCTREPL’s three fully-operational wind power projects having a combined capacity of 103 MW in Andhra Pradesh. In addition, it recently acquired Ostro Energy Private Limited, for a value of about Rs 102 billion.