M&A

M&A

ReNew acquires 359 MW of clean energy assets in Uttarakhand, Telangana for $384-M

Press Release   BSE Announcement  

Gurugram-based renewable energy firm ReNew Power has acquired two assets with a combined enterprise value of INR 2,850 crore (USD 384 million). The assets are expected to generate INR 380-400 crore of EBITDA annually. ReNew will acquire L&T Uttaranchal Hydropower Ltd, which owns the Singoli Bhatwari Hydroelectric Project (SBHEP), from L&T Power Development Ltd, a wholly-owned subsidiary of Mumbai-based, publicly listed engineering and construction firm L&T, for INR 985 crore. This acquisition marks ReNew's entry into the hydropower sector. SBHEP, situated on the Mandakini river in Rudraprayag district of Uttarakhand, was operationalised in December 2020 and is expected to have a residual life of 35 years. In a separate transaction, ReNew Power is to acquire 260 MW/330 MWp of operating solar projects in Telangana. The projects have a 25-year PPA with Northern Power Distribution Company of Telangana Ltd (NPDCTL) and Southern Power Distribution Company of Telangana Ltd (SPDCTL), and have been operating for around 4 years. The acquired assets are located close to ReNew's existing solar projects in Telangana, which is expected to offer opportunities to enhance productivity, reduce operations and maintenance costs, and utilize ReNew's proprietary monitoring and analytical technology to boost output.