June 2 (Renewables Now) - Indian renewables company ReNew Power (NASDAQ:RNW) has signed agreements to acquire 527.9 MW of wind and solar farms located in eight states of India, and secured a power purchase agreement (PPA) in Maharashtra, it announced today.
ReNew said that it has definitive agreements in place to buy 471.65 MW of wind and 56.25 MW of solar farms from an undisclosed party. The portfolio benefits from PPAs with state distribution companies in Gujarat, Maharashtra, Madhya Pradesh, Karnataka, Rajasthan, Telangana, Kerala, and Tamil Nadu, and PPAs with corporate customers for 25 MW.
The total enterprise value of these agreements stands at around INR 30 billion (USD 387m/EUR 362m), while full-year 2023 EBITDA is seen at about INR 3.95-4.24 billion.
ReNew expects to close this transaction in the second quarter of 2023, but will receive all cash flows generated from the assets from the lock box date April 1, 2022, the company said.
In a separate transaction, ReNew signed a PPA with Maharashtra State Electricity Distribution Company Limited (MSEDCL) to supply electricity from a 200-MW solar project for 25 years. The tariff is set at INR 2.43/kWh.
The solar farm will be located in the state of Rajasthan, but will supply electricity to Maharashtra. The plan is to commission the plant by the fourth quarter of 2024.
The latest deals boost the size of ReNew Power’s gross portfolio to around 12.8 GW in India, including commissioned and committed projects, the company added.
(INR 1.0 = USD 0.013/EUR 0.012)