Adani Green to acquire Canadian developer SkyPower Global’s 50 MW solar asset in India

Indian developer Adani Green Energy Limited (AGEL) has signed an agreement with Toronto-headquartered SkyPower Global to acquire its 50 MW operating solar asset in the Indian State of Telangana.

As per the agreement, AGEL will acquire a 100% stake in SkyPower Global’s special purpose vehicle (SPV) Surajkiran Renewable Resources that owns the 50 MW operating solar asset in the Indian State of Telangana.

The deal values Surajkiran Renewable Resources at an enterprise value of INR 317 crore.

Surajkiran Renewable Resources was incorporated on August 13, 2015 to generate electricity using renewable energy. It commissioned the solar project in October 2017 and benefits from a long-term power purchase agreement (PPA) with the Southern Power Distribution Company of Telangana.

Surajkiran earned a revenue of INR 504 million in the FY 2019-20.

“This acquisition expands Company’s (AGEL) footprints in a state where it already has operational projects. The acquisition is expected to be value accretive to our shareholders,” said AGEL in a Bombay Stock Exchange filing.

With this acquisition, AGEL shall increase its operating renewable capacity of 3,395 MW with a total renewable portfolio of 14,865 MW. The closing of the transaction is subject to customary approvals and conditions.

Vneet S. Jaain, managing director and chief executive officer, Adani Green Energy Ltd, said, “Strengthening our portfolio through organic and inorganic growth opportunities is an integral part of our vision to build a capacity of 25 GW by 2025 and become the largest renewables company in the world. We will leverage the strength of our platform and capital management philosophy to achieve operational improvements and value-accretive returns from the project.”