Radiance Renewables Acquires 152 MW Solar Rooftop Assets of Azure Power

By Prasanna Singh/ Updated On Mon, Apr 5th, 2021

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Radiance Renewables, a player in the competitive renewable energy solutions for commercial, industrial and residential customers has announced an agreement to acquire the solar rooftop assets of Azure Power Global Limited for Rs 536.5 crore covering 152.5 MW including 8.1 MW of under construction and 18.5 MW of recently commissioned assets. Radiance is a 100% subsidiary of the Green Growth Equity Fund (“GGEF”), India’s leading Climate fund, managed by EverSource Capital.

The current acquisition makes it one of the largest such deals in the rooftop solar assets space in India, catapulting Radiance among top bracket solar rooftop players in the country. Through this transformative acquisition, Radiance has acquired high-quality customers such as Indian Railways, DMRC, JNV, DJB amongst others where 99% of PPAs are for 25 years.

Sharing his views on the announcement, Manikkan Sangameswaran, Executive Director, Radiance Renewables Private Limited, said “This strategic acquisition will position Radiance as a significant pan India player in the Commercial, Industrial and Institutional segments with exposure to long term power purchase agreements with quality customers based on net metering in the build-out of its distributed generation platform. This transaction allows Radiance to bring its high-quality asset management skills to improve asset performance given its focus on enhancing and delivering value to its stakeholders. We plan to introduce cutting-edge asset management tools such as real-time monitoring with analytics and aim to make Radiance, a leading Renewable Energy as a service (REaaS) player in India.”

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On this acquisition by Radiance, Dhanpal Jhaveri, CEO, EverSource Capital, said “ At EverSource, one of our core agendas is sustainability and this transaction reinforces our commitment towards creating a clean and sustainable energy ecosystem. This investment will also help Radiance broaden its horizon of servicing C&I customers, which will pave the way for it becoming a leading player in its domain.”

Ranjit Gupta, CEO, Azure Power said, “This is the first-ever sale in Azure Power’s history and we are delighted to sell these assets to a high-quality focused C&I developer, Radiance Renewables, which is backed by high quality shareholders. At Azure, we are committed to capital discipline and our focus is on the creation of shareholder value. This sale allows us to enhance returns on invested capital through efficiency gains and cost optimization.”

Radiance currently manages an operational capacity of 95 MW across India across 13 sites. It has close to 40 MW of projects under construction and another 60 MW under development. Radiance continues to build more projects under Open Access and Behind the Meter, targeting a portfolio of 1.5 GW.