Fourth partner, Keppel, and others eye majority stake in Cleantech – EQ Mag Pro
Indian solar platforms Forth Partner Energy, O2 Power, Eversource Capital and Singaporean conglomerate Cable Corp are in separate discussions to acquire a majority stake in Cleantech Solar Energy, backed by Royal Dutch Shell, people familiar with the development said. The proposed deal for Cleantech is expected to be valued at $400 million (Rs.3,000 crore).
One of the promoters, Raju Shukla, who owns a 51% stake in the holding company, said he would sell his stake, while Shell would keep its 49% stake. Standard Chartered advises promoters to find a buyer.
As a renewable energy supplier to companies in India and Southeast Asia, Singapore-based Cleantech Solar has a 600MW portfolio in various stages of development in India, Indonesia, Cambodia, Malaysia, Thailand, Vietnam and Singapore.
In 2019, Shell Eastern Petroleum (Pte) acquired 49% of the company, a leader in rooftop solar energy. The previous year, Climate Fund Managers Dedicated Climate Investment Manager invested $50 million in Cleantech to acquire a stake in certain assets.
Last month, Cleantech secured Rs 200 crore from the NIIF IFL Infrastructure Debt Fund for the company’s portfolio of open access projects in India. It took out a $75 million green loan from ING last year and also has loan facilities from SBI-World Bank and Tata Cleantech Capital.
Cleantech Solar CEO Shukla and spokespeople for 4th Partner Energy, O2 Power and Eversource declined to comment. An email sent to Keppel had received no response as of publication time on Sunday. “Shell continues its role as a shareholder in Cleantech, and we have no further comment,” a Shell spokesperson said.
Founded in 2014, Cleantech Solar focuses on the installation of rooftop PV projects. Major customers include Apollo Tires, Bosch Automotive, Cargill, Tata Steel, Akzo Nobel, Coca-Cola, Siam Factory and Unilever.
In India, Cleantech Solar competes with Clean Max Enviro Energy and Petronas-owned Amplus Solar.
Private equity fund Warburg Pincus sold its largest stake in Clean Max to US-based Augment Infrastructure in August of this year. Keppel Corp. was among the applicants for the Warburg Pincus stake in Clean Max.
Indian distributed solar power company Forth Partner Energy is backed by TPG Capital and Norfund, the Norwegian government’s private equity fund. With a cumulative capacity of 375 MW for more than 150 corporate and government customers, Fourth Partner has clients such as Coca-Cola, Hindustan Unilever, Schneider, D Mart and Walmart.
Source : ET
