Japan’s JERA to acquire 10% stake in ReNew Power for $2bn

JERA, a joint venture between Japan’s Tokyo Electric Power and Chubu Electric Power, has agreed to purchase 10% stake in India’s ReNew Power for $2bn.

JERA will carry out the acquisition through one of its wholly-owned subsidiary and seeks to provide technical, operational, project development as well as management experience to ReNew.

ReNew, majority share of which has been owned by Goldman Sachs, currently operates 1.5GW of wind and solar power generation assets across India.

The company also has more than 3,000MW of commissioned and under construction clean energy capacity across the various Indian states including Delhi, Gujarat, Haryana, Punjab, Madhya Pradesh, Rajasthan, Maharashtra, and others.

JERA president Yuji Kakimi said: “As a ReNew Power shareholder, we will seek to contribute to the company by making available technical, operational, project development, and management experience gained through our global power businesses.

“We look forward to strengthening our relationship with ReNew Power and making a positive contribution to India’s economic growth and environmental sustainability by leveraging and augmenting ReNew Power’s success in developing its renewable energy capacity.”

Currently, the company operates around 6GW of energy assets globally across North America, the Middle East and South East Asia.

ReNew Power chairman and CEO Sumant Sinha said: “ReNew Power will continue to focus on developing sustainable and innovative solar and wind energy solutions and investing in high- quality projects to create positive returns for our stakeholders.”

Last month, the company secured a long-term debt financing of $390m from Asian Development Bank (ADB).