“ReNew Power, India’s leading renewable energy company, announced that it has sold 138 MWp of its distributed rooftop solar portfolio to Fourth Partner Energy, one of India’s leading rooftop solar energy companies, for Rs 6.72 billion (USD 89.9 million or Rs 672 crore),” the company said in a statement.
Fourth Partner Energy is an investee company of TPG and Norfund. After accounting for an outstanding debt of Rs 1.37 billion (USD 18.3 million or Rs 137 crore), the cash proceeds from the sale are Rs 5.35 billion (USD 71.6 million or Rs 535 crore).
ReNew expects to record a gain from the deal. The sale reaffirms ReNew’s commitment to creating greater shareholder value through capital reallocation into higher-return opportunities and being more efficient by focusing more on large utility-scale projects, it stated.
This allows the company to fully leverage its competitive advantages of scale, strong asset management, digital analytics and financing innovation, it said.
ReNew Power Chairman and CEO Sumant Sinha said in the statement, “Strong capital discipline is a core value for ReNew. This sale illustrates the value that can be released through the sale of assets and enhances our ability to capitalise on higher-return opportunities in the near term.