SkyPower Group sells Torrent Power 50 MW solar power plants for Rs 417 crore

Torrent Power Limited announced that it had entered into a Share Purchase Agreement (SPA) with SkyPower Southeast Asia III Investments Limited and SkyPower Southeast Asia Holdings 2 Limited (the Sellers) for the purchase of all of Sunshakti Solar Power Projects Private Limited’s securities (the SPV). According to the firm, the Enterprise Value for this transaction is about 417 crores, subject to Closing Price Adjustments, if any. The acquisition is also subject to typical transaction closing conditions. In Telangana, the SPV manages a 50 MW solar power project.

Northern Power Distribution Company of Telangana Limited (NPDCTL) has signed a long-term Power Purchase Agreement (PPA) for the Project for a period of 25 years at a fixed rate of approx. 5.35 per kWh, with a remaining usable life of approx. 20 years. Torrent Power is the diversified Torrent Group’s integrated power utility, with group sales of 20,500 crores (about USD 2.7 billion) and a market capitalization of over 75,000 crores (approx. USD 10 billion). Torrent Power now has a total installed generation capacity of 4.1 GW, with the majority of that capacity coming from clean sources such as gas (2.7 GW) and renewables (1.1 GW) (1.0 GW).

Renewable energy projects with a capacity of 0.4 GW are also under construction. Torrent Power’s overall generation capacity, including its under development portfolio, will exceed 4.6 GW, with a renewable portfolio of more than 1.5 GW, following the acquisition of the 50 MW Solar Power Plant.