India's Greenko agrees to buy Orange Renewables Singapore
The Pavgada solar park in Karnataka, India. Photo by: Greenko (www.greenkogroup.com).
Indian renewable energy company Greenko Energy Holdings today said it has agreed to acquire Orange Renewables Singapore for a total enterprise value of USD 922 million (EUR 786m).
The acquisition will give Greenko about 907 MW of wind and solar assets that are in operation or near completion and more than 500 MW of pipeline assets.
Greenko simultaneously announced an equity fundraising of USD 447 million. As part of this, Singapore's GIC has invested USD 316.1 million and continues to maintain its majority holding. An entity ultimately wholly-owned by the Abu Dhabi Investment Authority (ADIA) will invest USD 79.3 million, while Greenko Ventures will provide USD 52 million.
The deal will bring Greenko's operational capacity to around 4 GW diversified across wind, solar and hydro assets. The company says it has a further 7 GW under construction.
"Indian Energy Markets are transitioning from deficit markets to demand driven contracts requiring reliable, flexible and cost competitive energy," commented Greenko managing director and chief executive Anil Chalamalasetty. "Greenko is focussing in building Integrated Renewable Energy assets with storage to address these markets by competing with conventional energy assets like thermal in quality, quantity and cost," Chalamalasetty added.