Greenko Group and Hero Future Energies Pvt. Ltd are in separate talks with Singapore-based AT Capital Group to acquire Orange Renewable’s portfolio of 758 megawatt (MW) capacity, several people aware of the development said.
New Delhi-based Orange Renewable, a unit of AT Holdings Pte. Ltd, owns one of India’s largest renewable energy platforms with an operational capacity of 758MW, made up of 567MW of wind projects and 191MW from solar plants.
Interest in the platform, founded by Arvind Tiku, an Indian-born Singapore resident, is explained in part by the fact that few Indian clean energy firms offer scale. In addition, while consolidation attempts are being made in India’s green energy space, deals are few and far between because of a mismatch between the expectations of buyers and sellers.
There were earlier discussions with ReNew Power that didn’t reach fruition, post which both Greenko Group and Hero Future Energies are interested in Orange’s portfolio. Both Hero Future Energies and Greenko Group are interested in Orange’s assets. Rothschild has been given the mandate to find a buyer.
Both Hyderabad-based Greenko Group and Hero Future Energies have ambitious plans for India’s emerging green economy.
Greenko, backed by Singapore’s sovereign wealth fund GIC Holdings Pte. and Abu Dhabi Investment Authority, is planning a $750 million equity investment for buying energy assets. It is exploring the acquisition of Gati Infrastructure Pvt. Ltd’s (GIPL) 110MW Chuzachen hydro-electric project in east Sikkim.
Hero Future Energies, which is planning to put up a large grid-connected solar plant of up to 100MW capacity in South-East Asia, apart from expanding in Africa and India, plans to be present across the solar energy value chain.