The total enterprise value for this acquisition is projected to be roughly Rs 317 crore (USD 42.6 million)
Torrent Power, an Indian energy and power company and one of the largest private sector power companies having interests in power generation, transmission, distribution and manufacturing of power cables, has entered into a Securities Purchase Agreement to acquire LREHL Renewables India SPV 1's (SPV) all share capital and securities, including its 50 MW solar power plant.
As per sources, Torrent Power has engaged in the Agreement with Lightsource Renewable Energy and Lightsource India to procure all of the securities and share capital owned by LREHL Renewables India SPV 1’s (SPV).
Reportedly, the news was made after market hours, on July 30, 2021 following which Torrent Power's stock climbed 0.7 percent to Rs 455.35.
LREHL Renewables India SPV owns and runs a 50 MW solar power plant in state of Maharashtra, which was completed in April 2018. It has a 25-year long-term Power Purchase Agreement (PPA) with Solar Energy Corporation of India for the plant’s full capacity. The total enterprise value for this acquisition, including the VGF receivable, is projected to be roughly Rs 317 crore (USD 42.6 million).
Reportedly, Lightsourcebp (LSbp) is a global strategic collaboration between British Petroleum and Lightsource Renewable Energy. The Green Investment Group and the UK Government's Department for Business, Energy, and Industrial Strategy have partnered to form the UK Climate Investments LLP (UKCI).
The foreign holding company, Lightsource India, is jointly owned by UKCI (49 percent) and LSbp (51 percent). Meanwhile, Lightsource Renewable Energy, India, is an exclusively owned subsidiary of LsBP.
About Torrent Power –
Torrent Power is one of the India’s major firms and the integrated power utility unit of Torrent Group with presence across the entire power value chain of distribution, generation, and transmission. According to reports, Torrent Power has a total installed generation capacity of 3,879 MW, with another 815 MW under construction.