India's IDFC announces deal to buy 190-MW First Solar portfolio

A subsidiary of fund manager IDFC Ltd (BOM:532659) announced on Monday it has entered into an agreement to buy 190 MW of solar parks in India from the local unit of US firm First Solar Inc (NASDAQ:FSLR).

India Infrastructure Fund II, represented by its investment manager IDFC Alternatives Ltd, said in a press statement it will buy seven operating solar power plants in the Indian states of Andhra Pradesh and Telangana.

While, the fund did not disclose the value of the deal, the Economic Times said it amounts to INR 19.5 billion (USD 304m/EUR 259m). The transaction is pending regulatory clearance.

The agreement was signed by India Infrastructure Fund II’s wholly-owned renewable energy platform Vector Green Energy Pvt Ltd, as well as by First Solar Power India Pvt Ltd, First Solar FE Holdings Pte Ltd and their affiliates.

"Consistent with its stated strategy of aggregating operating renewable assets, IIF II is well on its way to achieving an installed base of 400-450 MW of operating renewable assets by the end of the current financial year," said Aditya Aggarwal, partner at IDFC Alternatives leading the renewable initiative.

(INR 100 = USD 1.559/EUR 1.329)

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