ReNew Power acquires Ostro Energy in major Indian clean energy deal

Share on facebook
Share on twitter
Share on linkedin
Share on reddit
Share on email
Ostro is building 110MW of solar PV. Credit: ReNew Power

Indian clean energy developer ReNew Power has acquired Ostro Energy Private Ltd for an undisclosed sum in what is one of India’s largest ever renewable energy deals.

Renew Power is backed by Goldman Sachs and Canada Pension Plan Investment Board (CPPIB), while Ostro is backed by London-based Actis LLP.

ReNew Power currently has clean energy assets of more than 4.5GW, which include a commissioned capacity of approximately 2.8GW. Ostro Energy has a total capacity of more than 1.1GW – dominated by wind energy – out of which nearly 850MW has been commissioned. Ostro Energy’s assets are spread across Andhra Pradesh, Karnataka, Telangana, Rajasthan, Madhya Pradesh and Gujarat. It is building 110MW of solar PV.

With the acquisition of these assets, ReNew Power’s clean energy capacity will now exceed 5.6GW, of which more than 65% is operational.

Canada Pension Plan Investment Board (CPPIB) is investing an additional US$247 million to support ReNew Power’s financing for this acquisition. As a result, the CPPIB’s combined investment in ReNew Power now stands at US$391 million, following an earlier investment of US$ 144 million in January 2018.

Reuters has reported two sources claiming that the acquisition was valued at around INR100 billion (US$1.54 billion) including equity of INR40 billion, partly funded by Canada Pension Plan Investment Board (CPPIB), which is investing an additional US$247 million. CPPIB made an earlier investment in ReNew of US$144 million in January 2018. The Ostro acquisition also involved debt of INR60 billion.

Other major Indian renewable energy deals include Greenko acquiring SunEdison’s 587MW of solar and wind assets in India, and Tata Power Renewable Energy (TPREL) acquiring Welspun Renewables Energy (WREPL) for US$1.4 billion.

Read Next

July 30, 2021
First Solar has unveiled plans to construct a 3.3GWdc module assembly facility in India, bolstering its manufacturing footprint outside of the US.
July 20, 2021
It is “unhealthy” for China to dominate solar manufacturing and production bases outside of the country are necessary to reduce the risk of supply chain disruptions, an Indian government official has said.
July 20, 2021
Vikram Solar has completed a new 1.3GW solar module manufacturing facility in Tamil Nadu, India, taking its total manufacturing output to 2.5GW.
July 13, 2021
Solar PV capacity in Asia Pacific could triple to 1,500GW by 2030, with China driving deployment and Indonesia set to be the region’s fastest-growing market, according to Wood Mackenzie.
July 9, 2021
Corporate funding in the global solar sector in the first half of 2021 was up almost threefold year-on-year, according to a new report from Mercom Capital Group.
July 5, 2021
Private equity firm EQT has struck a deal to acquire US-based solar and storage developer Cypress Creek Renewables from investment firms HPS Investment Partners and Temasek.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
August 19, 2021
At 9am (PT) | 6pm (CEST)
Solar Media Events
August 25, 2021
Solar Media Events
October 6, 2021
Solar Media Events
October 19, 2021