Adani Green Energy acquires SB Energy India for $3.5 billion

Adani Green Energy Ltd. (AGEL) has acquired solar power producer SB Energy India for an enterprise value of $3.5 billion. The deal marks the largest acquisition in the renewable energy sector in India.

As an ongoing initiative to switch to green, renewable energy sources to reduce the carbon footprint of corporations, Adani Green Energy Ltd. (AGEL) has acquired solar power producer SB Energy India for an enterprise value of $3.5 billion, AGEL said in the statement on Monday, October 4. The deal marks the largest acquisition in the renewable energy sector in India.

“Adani Green Energy Ltd. (AGEL), the world’s largest solar power developer, successfully completed the acquisition of SB Energy Holdings Ltd (SB Energy India) in an all-cash deal for which definitive agreements were signed on May 18, 2021,” a statement released by the company announced. 

SB Energy India, previously owned as an 80:20 joint venture between Japan-based SoftBank Group Corp and Bharti Group, is now a 100 per cent subsidy of AGEL, the statement further disclosed.

Moreover, SB Energy India, with its portfolio of 1,700 MW of operational renewable assets, 2,554 MW of assets under construction and 700 MW of assets near construction, will bring AGEL’s operational portfolio to 5.4 GW and overall portfolio to 19.8 GW. “Solar capacity accounts for 84 per cent of SB Energy India’s portfolio (4,180 MW), wind-solar hybrid capacity accounts for 9% (450 MW) and wind capacity accounts for 7% (324 MW),” the statement added.

The acquisition is another step in AGEL’s quest to adopt and produce green, renewable energy in the country. Prior to the announcement of the deal with SB Energy India, AGEL had announced earlier that it will acquire a 40 MW operational solar project from Essel Green at an enterprise value of Rs. 219 crores. “Just last week, Adani Group Chairman Gautam Adani had announced that the Group would invest over $20 billion across the next 10 years in renewable energy generation,” the statement added.

 

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