Fannie Mae, Freddie Mac shares tumble after conservatorship comments
ReNew Energy Global Plc, listed on NASDAQ as RNW, announced on Monday that it has entered into definitive agreements to sell its solar and transmission assets to IndiGrid Infrastructure Trust. The transactions involve ReNew Solar Aayan Private Limited, which operates a 300 MW solar project in Rajasthan, and Koppal Narendra Transmission Limited, a 276 circuit kilometers transmission project in Karnataka.
The total enterprise value of these transactions is approximately $275 million, inclusive of cash and working capital adjustments. An additional $17 million is anticipated as an earn-out from change-in-law proceeds, contingent upon payment realization by the special purpose vehicles (SPVs).
The solar project in Barmer, Rajasthan, operational since March 2024, has a 25-year Power Purchase Agreement with the Solar Energy Corporation of India at a fixed tariff of INR 2.37 per unit. The transmission asset, operational since October 2023, is a Build-Own-Operate-Maintain Inter-State Transmission System project. It is jointly owned by ReNew Transmission Ventures Private Limited (51%) and a joint venture between Norfund and KLP (49%).
Upon obtaining necessary regulatory and contractual approvals, IndiGrid will acquire full shareholding and management control of both assets. This acquisition is in alignment with the provisions of the definitive and concession agreements and includes lock-in obligations. The transaction is expected to result in a cash inflow of approximately $80 million for ReNew, including change-in-law proceeds.
This information is based on a press release statement from ReNew Energy Global Plc.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.