$200 million investment in ReNew Power by Japanese renewable energy firm JERA.

0
1181

Sumant Sinha, Chairman and CEO of ReNew Power Ventures Pvt. Ltd. is selling a 10% stake in his company to Japanese renewable power giant JERA Co. Inc. for $200 million. The deal was executed to raise funds for ongoing projects and attract global investors for its massive expansion plans.

solar-panels-871284454772qkb9

Sinha was formerly employed as COO at Suzlon Energy Ltd., which is listed on the Mumbai stock exchange and valued at Rs.8,600 crore. He quit Suzlon and started ReNew Power in 2011, which is currently valued at Rs.13,400 crore.

ReNew Energy currently has 1.5GW of clean energy production from its completed projects, and has another 1.8GW of potential power generation from projects under completion. The company has previously secured funding from Abu Dhabi Investment Authority, Global Environment Fund, Goldman Sachs and Asian Development Bank, among others.

VCCEdge data research shows that ReNew had raised around $650 million in equity funding, over half of which was raised from Goldman Sachs Principal Investments. In addition to this, the company had raised around $250 million in debt financing from Overseas Private Investment Corporation, a US Government finance institution. In January, 2017, ADB provided funding of $390 million.

JERA, which was established in 2015 as a coalition of Chubu Electric power Company and Tokyo Electric Power Company, communicated that it will provide technical, operational, managerial and developmental assistance to ReNew. This marks JERA’s first major international investment in the renewable energy sector. The company has officially communicated that “(this) deal signifies the importance to JERA of developing a balanced overseas power generation portfolio that includes renewable energy.”

LEAVE A REPLY

Please enter your comment!
Please enter your name here