Warburg Pincus Llc is exploring the sale of its stake in rooftop solar power company CleanMax Solar.
A potential deal could rank among the largest in India’s green energy segment, where transaction activity continues unabated despite the coronavirus pandemic.
People aware of the development said that Warburg may hire an investment banker soon.
CleanMax’s other investors are International Finance Corp. (IFC) and UK Climate Investments LLP (UKCI), a joint venture between Green Investment Group and the UK government’s department for business, energy and industrial strategy.
In July 2017, Warburg Pincus said it will invest as much as $100 million in CleanMax. The company’s operating capacity has grown from 24MW in 2015-16 to more than 500MW in 2018-19, and it expects to expand its customer base from 120 companies to 300 by 2022.
It has expanded its portfolio in West Asia and is exploring further expansion in South-East Asia.
India is home to the world’s largest clean energy program and aims to have 175GW of clean energy capacity by 2022, including 100GW from solar projects. Of this, 40GW is to come from solar rooftop projects.
While the rooftop solar sector hasn’t performed as per expectations, this is expected to change with Prime Minister Narendra Modi’ recently calling for each state to have at least one ‘solar city’ whose electricity needs would be met entirely through rooftop solar power.
This is a Syndicate News Feed; edited by Clean-Future Team