India-based energy and power company Torrent Power has submitted a non-binding offer (NBO) to acquire renewable energy company ReNew Power’s 350MW of solar and 750MW of wind power assets for around $450m
Torrent to buy 1.1GW green energy capacity. (Credit: ZHANG FENGSHENG on Unsplash)
India-based energy and power company Torrent Power is in talks with renewable energy company ReNew Power to purchase 1.1GW of green power plants for a total of $1.2bn.
The company has submitted a non-binding offer (NBO) for ReNew’s 350MW of solar and 750MW of wind power assets, at an equity value of around $450m.
In November 2022, Mint reported about ReNew’s plans to sell its operational clean energy projects as part of a capital recycling strategy to reinvest in building new clean energy assets.
Torrent has a 4.16GW generation capacity, with 1.068GW of renewables capacity, and is also developing 715MW of renewable energy capacity.
The company has previously signed an agreement with Lightsource Renewable Energy to purchase a 50MW solar power plant in the Indian state of Maharashtra.
It supplies electricity to 3.94 million customers in Dadra and Nagar Haveli, Daman and Diu, Ahmedabad, Gandhinagar, Surat, Dahej special economic zone, Dholera special investment region, Bhiwandi, Shil, Mumbra, Kalwa and Agra.
Established in 2011, ReNew Power is one of India’s earliest companies to enter the green economy and currently has a 13.4GW portfolio with a 7.7GW commissioned capacity.
The renewable energy company has recently teamed up with Norway’s state-owned investment fund Norfund, and pension company KLP to co-invest in transmission projects.
In August 2021, ReNew Power combined with Nasdaq-listed special purpose acquisition company RMG Acquisition Corp. II (RMG II) to form a new entity, ReNew Energy Global.
ReNew has teamed up with AES and Siemens-backed Fluence to form a JV for the energy storage business in India.
It has also partnered with state-run Indian Oil Corp. Ltd and Larsen and Toubro to form a tripartite JV for green hydrogen in India.
ReNew Energy Global’s subsidiary ReNew Power has also partnered with Elsewedy Electric SAE to set up an $8bn green hydrogen plant in the Suez Canal Economic Zone.