04 Jan 2023 CW team
Ahmedabad-based Torrent Power has submitted a non-binding offer (NBO) for ReNew's 350 MW and 750 MW wind and solar assets at an equity value of approximately $450 million, with valuation discussions still underway. in progress. Torrent Power has been involved in green energy deals and previously competed to acquire Vector Green Energy, an Indian clean energy platform owned by US private equity firm Global Infrastructure Partners (GIP), which was eventually acquired by Sembcorp Industries Ltd of Singapore. .
As part of its capital recycling strategy, ReNew plans to sell this clean energy operating capacity and use the money to develop new clean energy assets. 1,068 GW of Torrent Power's total generation capacity of 4.16 GW is made up of renewable energy sources. The Torrent Group company is also building a capacity of 715 MW for renewable energy. To purchase a 50 MW solar power plant in Maharashtra, Torrent Power and Lightsource Renewable Energy previously signed an agreement. Torrent Power serves around 3.94 million additional consumers in Dadra and Nagar Haveli, Daman and Diu, Ahmedabad, Gandhinagar, Surat, Dholera Special Investment Region, Dahej Special Economic Zone, Bhiwandi, Shil, Mumbra, Kalwa and Agra.
ReNew Power is one of the pioneers of India's green economy. The company now has a portfolio of 13.4 GW, with 7.7 GW of that capacity commissioned. It recently joined forces with KLP, Norway's largest pension company, and Norfund, the country's state investment fund, to co-invest in transmission projects. An $8 billion green hydrogen plant will be built in the Suez Canal Economic Zone through a partnership with Elsewedy Electric SAE and ReNew Energy Global Plc subsidiary ReNew Power Pvt. Limited.
To expand its business, Torrent Power is not opposed to taking an inorganic path. As part of the process of privatizing electricity distribution companies in the union territories, it submitted the highest bid to buy the company's operations in Dadra and Nagar Haveli and Daman and Diu. Eminent Electricity Distribution Ltd, a division of Kolkata-based RP-Sanjiv Goenka Group, CESC Ltd, made the highest bid in Torrent Power's bid to buy the Chandigarh discom.
