ReNew to go public in $8b SPAC deal

The company will be named ReNew Energy Global.

India-based pure-play renewable energy producer ReNew Power Private (ReNew) announced a definitive business combination agreement with special purpose acquisition company RMG Acquisition Corporation II (RMG II), which would see ReNew becoming a publicly listed company on the NASDAQ.

The combined company would be named ReNew Energy Global and be publicly listed under the symbol “RNW”, a media release read.

The pro forma consolidated and fully diluted value of the enterprise is about $8b.

With transactions anticipated to close in Q2 2021, the total anticipated proceeds was $1.2b, comprising $855m upsized, fully committed private placement of common stock (PIPE) in ReNew Power as well as $345m gross cash held by RMG II in trust.

The expected net proceeds of approximately $610m would “fund the company’s accelerated growth strategy and pay down debt,” the release said.

“The upsized PIPE was anchored by marquee institutional investors including funds and accounts managed by BlackRock, BNP Paribas Energy Transition Fund, Chamath Palihapitiya, Sylebra Capital, TT International Asset Management Ltd, TT Environmental Solutions Fund, and Zimmer Partners,” the release added.