Adani Green Completes Rs 133 crore Spinel Energy Buyout

Adani Green Energy has completed the acquisition of Spinel Energy and Infrastructure from Hindustan Cleanenergy and Peridot Power Ventures. The deal, which was announced on January 21 first, was formally completed last week. The enterprise value of the all cash deal has been put at Rs 133 crores. For Adani Green, the acquisition is another one in the line up it has been building up inorganically, even as its greenfield projects continue.

The firm has completed acquisition of 100 per cent of the share capital and all the securities of Spinel Energy & Infrastructure Ltd (SEIL) from Hindustan Cleanenergy Limited and Peridot Power Ventures Ltd stated a filing to the BSE from AGEL.

Spinel Energy has a 20 MW solar plant in Mahoba, Uttar Pradesh. The pant was started in 2017, with a long term PPA (Power Purchase Agreement) of Rs 7.54/unit in place. The 12 year old firm had a turnover of Rs 16.13 crore in 2019-20.

Post competition of this acquisition, AGEL now has  total renewable capacity of over 15,200 MW spread across 11 states. with over 11,000 MW awarded & under implementation projects. The firm has a stated objective of reaching 25 GW of renewable capacity by 2025. For what its worth, its huge pipeline of under implementation and awarded project make it the ‘largest’ renewable energy firm in the world. Significantly, a large part of the awarded  capacity is still stuck for lack of PPA’s.

The company also recently announced acquisition of a 75 MW solar power project from Sterling & Wilson — part of the  Shapoorji Pallonji group – at a cost of Rs 446 crore in Telangana. The PPA here would probably have been at a lower cost as compared to the one for SEIL in Uttar Pradesh.

Recently the company has successfully raised a USD 1.35 billion debt package for its under-construction renewable asset portfolio through definitive agreements signed with a group of leading international lenders. The revolving project finance facility would initially finance the 1.69 GW hybrid portfolio of solar and wind renewable projects to be set up in four SPVs in the state of Rajasthan, India.