“Due diligence of solar assets by Global Infrastructure Partners(GIP) is over and currently the documentation work is on. The deal is expected to be closed in a month,” said one of the persons cited above.
Power Finance Corp (PFC) filed an insolvency plea against RattanIndia in the National Company Law Tribunal (NCLT) to recover unpaid loans. RattanIndia’s two integrated thermal power plants at Nashik and Amravati in Maharashtra have defaulted to the tune of Rs 20,000 crore.
A number of renewable energy producers in India are exploring sale of their business as the companies are unable to expand.
Last month, Shapoorji Pallonji Group had sold its 194 MW solar assets to Actis Llp’s renewable energy platform Sprng Energy for an enterprise value of $200 million.
Kiran Energy, set up by Alan Rosling, former executive director with Tata Sons, had been sold to HindujaNSE -0.24 % Power last year.
Several global players are also exiting the business in India by selling their renewable energy portfolio.
Last year, Finnish clean energy firm Fortum sold 54% in solar business in India to Macquarie-owned UK Climate Investments, while American firm First Solar, Inc.
sold its 190 MW India solar power project to Vector Green Energy, the renewable energy platform of IDFC Alternatives, for $300 million in 2017. Madrid-based Fotowatio Renewable Ventures (FRV) is in talks to sell its 100-MW power project in India.
Rating company Icra, which has a stable outlook for India’s clean energy sector, expects capacity addition of 10 GW of renewable energy in the year ending March 2020.
India currently has about 72 GW of installed renewable energy capacity, including 34 GW of wind and 23 GW of solar, which is equivalent to 20% of the country’s total installed power capacity. The government is targeting a renewable energy capacity base of 175 GW by 2022.
Source: economictimes.indiatimes
