3 Large Groups Looking To Buy A Stake In Hero Future Energies

International interest in Indian renewable energy companies has been rekindled with at least three large groups looking to acquire a stake in Hero Future Energies, a large privately-owned renewable energy project developer.

If media reports are to be believed, Abu Dhabi-based Masdar Clean Energy, Malaysia’s Petronas, and Singapore-based Sembcorp Group have entered separate talks with Hero Future Energies for a minority stake in the latter.

Hero Future Energies is part of an industrial conglomerate owned by the Munjal family. 

Hero Future Energies hopes to raise $300-350 million from the stake sale which would likely be used for further expansion of the company and its portfolio.

The company currently has an installed capacity of 1.2 gigawatts with 500 megawatts under construction and 300 megawatts in the pipeline. The company plans to have an installed capacity of 3.5 gigawatts by 2022.

Masdar does not have a footprint in India’s renewable energy market, and this could be a golden opportunity for the group to enter one of the fastest growing renewable energy markets in the world.

Abu Dhabi Investment Authority, a sovereign wealth fund owned by Emirate of Abu Dhabi, owns a minority stake in ReNew Power, one of the leading renewable energy developers in India.

Petronas is reportedly also in talks with Amplus Energy — one of the largest rooftop solar power producers in India. The Malaysian giant is looking to acquire a majority stake in the company at a potential investment of Rs 2,700 crore ($380 million).

Sembcorp already has a large footprint in India. It owns thermal power assets as well as large-scale wind and solar power project across the country.

Reference- Clean Technica, ReNew Power website, Economic Times