A 100 MW solar asset acquired by Indigrid for INR 660 crore
Increasing its asset portfolio to 14 power projects, IndiGrid has become the country’s first invIT to acquire renewable energy.
Power infrastructure investment trust (InvIT) IndiGrid announced the acquisition of a 100 percent stake in two solar assets with 100 megawatts (MW) capacity from Fotowatio Renewable Ventures (FRV) for Rs 660 crore.
According to IndiGrid, this transaction fulfills the company’s strategy to acquire solar projects with long-term power purchase agreements, a proven operational track record, and powerful counterparties like SECI and NTPC.
The 100 MW assets are fully operational and located in the 400 MW Ananthapuramu Solar Park in Andhra Pradesh, according to the press release. Both projects have been in operation for more than two years.
While sharing his excitement over the acquisition Harsh Shah, CEO of IndiGrid stated that the company has been able to diversify its portfolio by adding the first solar assets. We would be able to increase our net distributable cash flow from the acquisition…
Our strategy is to deliver predictable cash flows to our investors through such projects, he added further.
The IndiGrid’s advisory team for this transaction consisted of Cyril Amarchand and Mangaldas, PriceWaterCoopers and Mahindra Teqo. On the other hand, Greenstone Advisors represented FRV on the sell-side in this transaction.
It is the first time that an InvIT in the country has acquired a renewable energy project. The company’s portfolio now includes 14 diversified power projects.
