Essel Infraprojects, a part of Subhash Chandra-led Essel group, is in advanced stages of selling its 685-MW solar business to Greenko group, according to sources close to the development. The deal size could be to the tune of $1 billion, they added.
Global private equity fund Actis and Tata Power were also in the fray along with Greenko to buy the assets of Essel. However, their deals did not go through, the sources said.
When contacted, an Essel spokesperson told PTI, “As an infrastructure conglomerate, we keep on evaluating various opportunities. However, we would not like to comment on market speculation.”
Greenko also declined to comment on the deal.
Essel has a total portfolio of 23 projects, under various stages of development, with nearly 310 MW of operational solar power facilities, which it had bid for under the National Solar Mission and state government auctions, and another 375 MW capacity under construction.
Greenko, backed by Singapore’s GIC and Abu Dhabi Investment Authority, has recently bought wind and solar energy producer Orange Renewables for an enterprise value of about $1 billion.
GIC and ADIA have recently invested $450 million more in Greenko Energy Holdings, which has over 3,200 MW of operating capacity.
In 2016, Greenko acquired SunEdison’s India assets at an enterprise value of $ 392 million.