One of the largest acquisitions of rooftop solar assets in India
Mumbai, Monday, April 05, 2021: Radiance Renewables Pvt. Ltd. (Radiance), one of India’s leading providers of competitive renewable energy solutions for commercial, industrial and residential customers and a 100% subsidiary of the Green Growth Equity Fund (“GGEF”), India’s leading Climate fund, managed by EverSource Capital, has today announced that it has signed an agreement to acquire solar rooftop assets of Azure Power Global Limited, a leading solar power producer in India, for INR 536.5 crore covering 152.5 MW including 8.1 MW of under construction and 18.5 MW of recently commissioned assets.
This is one of the largest acquisitions of rooftop solar assets in India which makes Radiance, one of the largest solar rooftop players in the country. Through this transformative acquisition, Radiance will service high-quality customers such as Indian Railways, DMRC, JNV, DJB amongst others where 99% of PPAs are for 25 years.
Sharing his views on the announcement, Manikkan Sangameswaran, Executive Director, Radiance Renewables Private Limited, said “This strategic acquisition will position Radiance as a significant pan India player in the Commercial, Industrial and Institutional segments with exposure to long term power purchase agreements with quality customers based on net metering in the build-out of its distributed generation platform. This transaction allows Radiance to bring its high-quality asset management skills to improve asset performance given its focus on enhancing and delivering value to its stakeholders. We plan to introduce cutting-edge asset management tools such as real-time monitoring with analytics and aim to make Radiance, a leading Renewable Energy as a service (REaaS) player in India.”
On this acquisition by Radiance, Dhanpal Jhaveri, CEO, EverSource Capital, said “ At EverSource, one of our core agendas is sustainability and this transaction reinforces our commitment towards creating a clean and sustainable energy ecosystem. This investment will also help Radiance broaden its horizon of servicing C&I customers, which will pave the way for it becoming a leading player in its domain.”
Ranjit Gupta, CEO, Azure Power said, “This is the first-ever sale in Azure Power’s history and we are delighted to sell these assets to a high-quality focused C&I developer, Radiance Renewables, which is backed by high quality shareholders. At Azure, we are committed to capital discipline and our focus is on the creation of shareholder value. This sale allows us to enhance returns on invested capital through efficiency gains and cost optimization.”
Radiance manages an operational capacity of 95 MW across India across 13 sites. It has close to 40 MW of projects under construction and another 60 MW under development. Radiance continues to build more projects under Open Access and Behind the Meter, targeting a portfolio of 1.5 GW.
Khaitan & Co. acted as the legal advisors to Radiance Renewables.
About Radiance Renewables Private Limited
Radiance Renewables Private Limited (“Radiance”) is one of India’s leading providers of competitive renewable energy solutions for commercial, industrial and residential customers enabling them to achieve their sustainability goals.
Radiance is a 100% subsidiary of the Green Growth Equity Fund (“GGEF”), India’s leading Climate fund, managed by EverSource Capital, with cornerstone investments from India’s National Investment and Infrastructure Fund (“NIIF”) and Foreign, Commonwealth and Development Office ("FCDO") of the UK government.
EverSource Capital is a 50:50 joint venture between Everstone Capital, one of Asia’s premier multiasset investment firm, and Lightsource bp, a global leader in renewables, with a global portfolio of more than 21 GW under development, construction and operation. For more information, visit www.radiancerenewables.com and follow us on Linked In
About Azure Power
Azure Power (NYSE: AZRE) is a leading independent solar power producer with a pan-India portfolio of 6.9 gigawatts on February 28, 2021 of which 2.0 GWs are operational, 0.9 GWs are under construction and 4.0 GWs have received a Letter of Award but for which PPAs have yet to be signed. Azure Power developed India's first private utility scale solar project in 2009and has been at the forefront in the sector as a developer and operator of solar projects since its inception in 2008. With its in-house engineering, procurement and construction expertise and advanced in-house operations and maintenance capability, Azure Power manages the entire development and operation process, providing low-cost solar power solutions to customers throughout India. For more information, visit: www.azurepower.com
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