ReNew inks pact with Anzen to sell 300 MW operational solar asset in Raj – EQ
In Short : ReNew Energy Global has signed a deal to sell its 300 MW solar power plant in Rajasthan to Anzen India Energy Yield Plus Trust for $176 million. The plant, operational for three years, operates under a 25-year power purchase agreement. ReNew is also set to receive $17 million in earn-out payments, optimizing its portfolio and enhancing financial flexibility.
In Detail : ReNew Energy Global Plc (ReNew) on Monday said it has signed an agreement with Anzen to sell entire stake in its wholly owned subsidiary RSWPL at an enterprise value of $176 million.
Under the agreement, ReNew Private will sell 100 per cent shareholding and economic interest in ReNew Sun Waves Pvt Ltd (RSWPL), which houses a 300 MW operating solar asset to Anzen India Energy Yield Plus Trust (Anzen).
In a regulatory filing, ReNew said it “announces the signing of definitive agreement to sell RSWPL to Anzen. The transaction is expected to close post completion of contractual obligations and conditions precedent including receipt of lender approval”.
The enterprise value determined under the agreement is $176 million, subject to net current assets and other such adjustments as provided in the definitive documents.
Additionally, $17 million is expected to be received as an earn-out on account of change in law proceeds pertaining to increase in basic customs duty (BCD), safeguard duty (SGD) and goods and services tax (GST), after the first payment is released by RSWPL.
The 300 MW SECI solar project is located in Jaisalmer, Rajasthan, and has been operational for three years. The tariff for the 25-year power purchase agreement is Rs 2.55/unit.
