CDPQ to beef up stake in India's Apraava Energy to 50%
Wind park in India. Featured Image: Regien Paassen/Shutterstock.com
Canadian investment group Caisse de depot et placement du Quebec (CDPQ) has raised its stake in India’s Apraava Energy to 50% following an agreement that will make the Mumbai-based renewables and power transmission business a 50/50 joint venture (JV).
Apraava Energy’s other shareholder, Hong Kong-based CLP Group, agreed to sell its 10% stake to the Canadian partner for a sum that amounts to a US-dollar equivalent of INR 6.6 billion (USD 83m/EUR 82.6m), the companies announced on Tuesday.
CDPQ became a strategic shareholder in Apraava Energy in 2018, after acquiring a 40% stake in the company. With an increased equity stake following the transaction, CDPQ will gain governance rights equal to those of the CLP group, according to Tuesday’s press release.
Apraava Energy has 3,150 MW of installed capacity in its portfolio, including two power transmission assets, 924 MW of wind and 250 MW of solar energy projects in India. It is currently in the process of building a 251-MW wind farm, which is set to become largest wind power asset to date, its co-owners said.
The transaction is subject to certain conditions and regulatory approval.
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