Engie turns to 813MWp solar sale in India to slash debt

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
The sale to Mumbai-headquartered financial buyer Edelweiss will allow Engie to slash debt by >€400m, the firm estimates. Image credit: Chetan Bisariya / Flickr” />
	</div>
<div class=

An Indian financial services group is to become the new majority owner of a PV portfolio Engie is developing in the country, setting the scene for a long-term partnership between both firms.

Earlier this week, Engie announced an infrastructure fund part of the Mumbai-headquartered Edelweiss Group will acquire a 74% stake in its 813MWp portfolio of Indian solar.

The energy giant’s statement said the deal with Edelweiss Infrastructure Yield Plus (EIYP) fund concerns 12 solar assets, but did not specify their location or stage of development.

Approached by PV Tech, the firm had not shed light on this front – nor clarified whether it will retain a minority stake in the 813MWp portfolio after the sale – by the time this article was published.

The firm’s statement did explain the transaction is expected to finalise throughout H1 2020, and should help slash net debt levels by over €400 million (US$443 million).

In addition, Engie said the transaction will also pave the way for a partnership with EIYP, where the developer will remain the builder and operator of the solar plants owned by the new buyer.

Engie said the move aligns with its broader DBSO [develop, build, share, operate] approach in India, which it said allows to increase the value of projects.

The firm’s involvement in Indian renewables goes back more than 40 years, and has seen it grow to employ around 1,000 people at the time of writing.

The group claims to have reached 1.5GW in installed renewable capacity nation-wide, including solar assets in the states of Punjab, Rajasthan, Uttar Pradesh, Telangana, Andhra Pradesh and Gujarat.

The change of hands of a solar portfolio comes as India works towards a 175GW-by-2022 renewable target, a goal analysts have warned could be beyond reach.

According to consultancy JMK Research & Analytics, the country took its renewable fleet up to a cumulative 86GW in 2019, after installing 7.5GW of utility-scale solar and 2.4GW of wind power over the year. 

Read Next

September 21, 2021
Private equity firm American Securities has secured a deal to acquire US solar engineering, procurement and construction (EPC) provider Swinerton Renewable Energy and its operations and maintenance (O&M) subsidiary SOLV from Swinerton Incorporated.
September 20, 2021
A subsidiary of Indian utility Tata Power has received a letter of intent to set up a 250MW grid-connected solar project in the state of Maharashtra.
September 16, 2021
Energy engineering firm Babcock & Wilcox is to enter the US solar market through the acquisition of a majority stake in Illinois-based solar contractor Fosler Construction.
September 14, 2021
Polish renewables developer PAD-RES is to be acquired by a joint venture established by real estate investor Kajima and private equity firm Griffin Real Estate.
September 13, 2021
The Indian state of Tamil Nadu is planning to develop 4GW of additional solar projects as well as new battery energy storage systems, according to local media.
September 10, 2021
Independent power producer ReNew Power has commissioned a 250MW portion of a 300MW solar plant in the Indian state of Rajasthan.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
October 6, 2021
Solar Media Events
October 19, 2021
BRISTOL, UK
Solar Media Events
December 1, 2021