Torrent Power and ReNew Energy Global are in negotiations to buy 1.1 GW worth of green power plants for $1.2 billion. According to the report, the Ahmedabad-based company has made a $450 million non-binding offer (NBO) to purchase ReNew’s 350 and 450 Mw of solar and wind assets.
According to news sources from November 2022, as part of its capital recycling strategy, ReNew intended to sell its operating sustainable energy capacity. The money will be used to create new renewable energy assets. The value discussions are still ongoing.
“ReNew has not designated any sell-side banks for this transaction. Between Torrent and ReNew, valuation discussions are now being held “said a source.
One of the newest companies to enter India’s green energy market is ReNew Power, which was established in 2011. 13.64 Gw make up its portfolio. The business combined with RMG Acquisition Corp II in August 2021 to create ReNew Energy Global Plc. Additionally, a tripartite joint venture for green hydrogen has been formed with Indian Oil Corp. and L&T. With Microsoft India, the business agreed to supply 150 Mw of green energy in December.
“The agreement will assist contribute towards Microsoft’s objective of converting to 100% supply of renewable energy by 2025,” stated Sumant Sinha, chairman and CEO of ReNew Power. The company also announced that it would spend Rs 30,000 crore over the next two years to increase its capacity to produce solar and wind energy.
The power generation capacity of Torrent Power, on the other hand, is 4.16 Gw. Dadra and Nagar Haveli, Daman and Diu, Ahmedabad, Gandhinagar, Surat, the Dholera Special Investment Region, the Dahej Special Economic Zone, Bhiwandi, Shil, Mumbra, Kalwa, and Agra are all served by it.
Its overall net profit increased by more than 31% to Rs 484.19 crore in the September quarter, mostly as a result of greater revenues.