Sumitomo to Acquire 49 Per Cent Stake in HFE Karnataka Project
HFE will retain the remaining 51 per cent stake in the project. The companies did not disclose the value of the transaction. HFE said the partnership would combine Sumitomo’s investment capabilities with its experience in developing and operating renewable energy assets in India.
HFE said India’s renewable energy sector was attracting greater interest from global strategic and institutional investors as the country expanded its focus on clean technology and increased the contribution of renewable sources to its energy mix. Sumitomo said the transaction would strengthen its renewable energy platform in India and support opportunities linked to a stable supply of clean power.
The project forms part of HFE’s broader portfolio, which spans India, Ukraine, Vietnam and the UK. The company has 7.7 GW of renewable energy assets and 2.9 GWh of battery energy storage capacity, including operating and under-development projects. Its investors include the International Finance Corporation (IFC) and KKR.
Alongside conventional wind and solar photovoltaic (PV) assets, HFE is developing hybrid power, peak power and firm and dispatchable renewable energy (FDRE) solutions. Its portfolio also includes energy storage and green hydrogen technologies. The Karnataka project is expected to combine generation from wind and solar resources with storage to support more consistent power delivery.
The partnership comes as developers and investors seek projects capable of supplying renewable electricity beyond intermittent generation periods. HFE said the transaction would support its growth ambitions, while Sumitomo identified the expansion of renewable energy within India’s power mix as a significant opportunity for further business development.