Thailand-based Global Renewable Synergy, a subsidiary of Global Power Synergy (GPSC), has acquired a stake of 41.6% in Indian renewable energy firm Avaada Energy for THB14.82bn ($450m).

Avaada Energy has developed and is operating a portfolio of solar power plants across India. The power plants are underpinned by long-term power purchase agreements with the Indian government and some of the state governments along with private commercial and industrial customers.

The company’s portfolio has a total committed capacity of around 3.74GW. Of this, nearly 1.39GW are in operations, while approximately 2.35GW of projects are under construction, which are expected to begin commercial operations by 2021-2022.

Global Power Synergy stated: “The investment in this platform aligns with the Company’s growth strategy in renewable energy business internationally and enhances the Company’s expertise in the solar power generation as well as the business collaboration in the area of the Company’s renewable energy business in the future.

“In addition, Avaada aims to expand its renewable energy portfolio in accordance with significant growth expected in electricity demand in India.”

According to Global Power Synergy, India is one of its focus countries for the expansion of its renewable energy business. The company said that its decision to invest in India is driven by the country’s government support to encourage investments in renewable energy for expanding the country’s renewable energy capacity from 73GW to 450GW by the end of this decade.

Global Power Synergy is the power arm of Thailand’s state-owned energy company PTT Group.

Recently, the Economic Times reported that Canadian pension fund Ontario Municipal Employees Retirement System (OMERS) and Norfund, a Norwegian state-owned investment fund, are in talks to acquire a stake of 20% in Avaada Energy.

OMERS and Norfund were planning to pay $200m for the stake, as per the publication, citing sources familiar with the development.

Based in Mumbai, Avaada Energy was established in 2017 by Vineet Mittal, an ex-promoter of Welspun Energy.