ReNew sells 300 MW solar project in India

The project started operations in December 2021.

Energy firm ReNew is selling the 300-megawatt solar project in Rajasthan to India Grid Trust worth $199m through a Share Purchase Agreement.

In a statement, ReNew said around $8m is also expected to be received as an earn-out on account of change-in-low proceeds following the first payment.

“We are committed towards discipline in allocating capital as well as enhancing shareholder value through asset recycling,” said Group Chief Financial Officer Kailash Vaswani.

“This reaffirms our ability to unlock value through the sale of assets and pursue more lucrative opportunities. We continue to see interest in the private markets for high-quality stabilized assets,” he added.

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ReNew added that the transaction will lead to a cash inflow of around $82m, including the change-in-law proceeds for ReNew after the transfer of the outstanding debt to the buyer.

The project, commissioned in December 2021, has a 25-year power purchase agreement with the Solar Energy Corporation of India.