+
IndiGrid InvIT completely acquires two solar assets of Footwatio
POWER & RENEWABLE ENERGY

IndiGrid InvIT completely acquires two solar assets of Footwatio

IndiGrid, the Indian power sector's first infrastructure trust (InvIT), has acquired a 100% stake in two solar assets with a combined capacity of 100 MW from Fotowatio Renewable Ventures (FRV), a Madrid-based developer, at an industry value of Rs 6.6 billion.

In December 2020, IndiGrid had signed a securities purchase contract to get the two solar projects of 50 MW capacity each from FRV Solar Holdings Limited and FRV. To finance the 100 MW solar projects, FVR raised $29 million in non-convertible debentures from the International Finance Corporation (IFC).

PriceWater Coopers, Cyril Amarchand and Mangaldas, and Mahindra Teqo advised IndiGrid on this acquisition. Greenstone Advisors served as the sell-side advisor on the transaction of FRV.

IndiGrid’s purchase of its first solar asset is the first renewable energy acquisition by any InvIT in India.

The financing of the acquisition would be via a combination of debt, internal accruals, and current rights issues. Following the acquisition, IndiGrid’s net debt or assets under administration is nearly 58%, giving enough headroom for growth against the 70% leverage threshold.

The portfolio of InvIT’s assets consists of 14 diversified power projects, including 40 transmission lines (7,570 km), 11 substations (13,550 MVA capacity), and 100 MW of solar projects over 18 states and one union territory (UT).

The acquired 100 MW solar projects are fully working and established in the high radiation region at the 400 MW Ananthapuramu Solar Park in Andhra Pradesh for a 25-year contractual time at a fixed tariff. The power purchase agreement (PPA) for both assets is now in a position with the Solar Energy Corporation of India (SECI).

The projects have been in the working position for more than two years. This acquisition follows IndiGrid’s plan to get solar projects with long-term PPAs, an operational track record, and financially strong counterparties, off-takers like NTPC and SECI.

Image Source


Also read: ITI Limited invites EoI for 1,000 off-grid solar projects

Also read: Reliance eyes acquisition of Norway solar module maker REC

IndiGrid, the Indian power sector's first infrastructure trust (InvIT), has acquired a 100% stake in two solar assets with a combined capacity of 100 MW from Fotowatio Renewable Ventures (FRV), a Madrid-based developer, at an industry value of Rs 6.6 billion. In December 2020, IndiGrid had signed a securities purchase contract to get the two solar projects of 50 MW capacity each from FRV Solar Holdings Limited and FRV. To finance the 100 MW solar projects, FVR raised $29 million in non-convertible debentures from the International Finance Corporation (IFC). PriceWater Coopers, Cyril Amarchand and Mangaldas, and Mahindra Teqo advised IndiGrid on this acquisition. Greenstone Advisors served as the sell-side advisor on the transaction of FRV. IndiGrid’s purchase of its first solar asset is the first renewable energy acquisition by any InvIT in India. The financing of the acquisition would be via a combination of debt, internal accruals, and current rights issues. Following the acquisition, IndiGrid’s net debt or assets under administration is nearly 58%, giving enough headroom for growth against the 70% leverage threshold. The portfolio of InvIT’s assets consists of 14 diversified power projects, including 40 transmission lines (7,570 km), 11 substations (13,550 MVA capacity), and 100 MW of solar projects over 18 states and one union territory (UT). The acquired 100 MW solar projects are fully working and established in the high radiation region at the 400 MW Ananthapuramu Solar Park in Andhra Pradesh for a 25-year contractual time at a fixed tariff. The power purchase agreement (PPA) for both assets is now in a position with the Solar Energy Corporation of India (SECI). The projects have been in the working position for more than two years. This acquisition follows IndiGrid’s plan to get solar projects with long-term PPAs, an operational track record, and financially strong counterparties, off-takers like NTPC and SECI. Image Source Also read: ITI Limited invites EoI for 1,000 off-grid solar projects Also read: Reliance eyes acquisition of Norway solar module maker REC

Next Story
Real Estate

DLF Returns to Mumbai with Premium Andheri Residential Project

Delhi-NCR based real estate major DLF announced its return to the Mumbai market on 17 July with the launch of its premium residential project, The WestPark, in Andheri. The first phase includes 416 apartments spread across four towers, with two towers launched on the announcement day. The company plans to invest over Rs 8 billion in the project and expects a topline exceeding Rs 20 billion from Phase 1.“We have launched two towers and, given the strong response, plan to unveil the remaining two towers ahead of schedule, within the next few days,” said Aakash Ohri, Joint Managing Director o..

Next Story
Infrastructure Urban

APCRDA Advances Net Zero Goal with IGBC Training for Officials

In a significant stride towards Andhra Pradesh’s Net Zero target by 2040 and the Swarna Andhra 2047 vision, the Andhra Pradesh Capital Region Development Authority (APCRDA), in partnership with the Indian Green Building Council (IGBC), conducted a high-level capacity-building programme for senior officials in Vijayawada on Friday.Held at a city hotel, the session saw the participation of over 50 senior APCRDA officials, including the Engineer-in-Chief, Chief Engineer (H&B), Director (Planning), Director (Environment), and heads of key departments. The training centred on IGBC’s Green B..

Next Story
Infrastructure Energy

Assam Solar Project Halted as Waaree EPC Contract Is Cancelled

Following the Assam government’s withdrawal from its proposed solar project, the Engineering, Procurement, and Construction (EPC) contract awarded to Waaree Renewable has been suspended. Waaree Group’s EPC division informed the stock exchange of this development through a regulatory filing.The Assam solar project was suspended due to funding challenges, which rendered the initiative unviable for the state government. Waaree Renewable Transmission Limited (RTL) explained that the Government of Assam has withdrawn the project’s funding via the Asian Development Bank (ADB) loan. Consequentl..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?