UAE’s Masdar Energy Among Bidders for Enel’s Indian Renewable Assets

Delhi Development Body Allows Private Firms to Buy Flats in Bulk: Several prominent investors, including UAE’s Masdar Energy and Singapore’s Sembcorp, have submitted non-binding bids to acquire 760 MW of operational assets in India from the renowned Italian energy company, Enel Group. Other contenders in this high-stakes bidding war include JSW Energy, Torrent Power, Sekura Energy, and ONGC. This development comes as Enel Group seeks to sell its portfolio of Enel Green Power India, legal advisors being prompt HSBC. The transaction is estimated to have an enterprise value of $500 million, equivalent to ?4,100 crore. The assets in question include 420 MW from solar power projects and 340 MW from wind power ventures, those inaugurated and operational. Complementing this is an ambitious growth plan of Enel Green Power India, wherein they have a development pipeline of 2 gigawatts GW sought to be tapped into. Pairing operational capabilities with potential development can be seen as a calculated move by the investors involved. The potential acquiring parties recognize the tremendous opportunity to benefit not only from the existing operational capacity but also from the untapped possibilities for expansion in the Indian renewable energy market.

A history of successful forays in India: Norwegian Climate Investment Fund last year allocated $100 million towards a 168 MW wind power plant initiative powered by Enel Green Power India in the subcontinent. This involvement further cemented Enel Green Power India’s standing in the country’s renewable energy sector. Furthermore, plans to collaborate and invest with Enel Green Power India marked yet another milestone when reputable players Norfund and KLP joined forces in 2020 for large-scale renewable energy projects in India. As a testament to this partnership, the duo announced their first venture, the colossal 420 MW Thar solar plant, which began construction in 2022 for a unit envisaging extraordinary energy production skills[^1^]. Established in 2008, Enel Green Power operates an astonishing 63 GW of renewable capacity across more than 1,300 plants on a global platform. Focusing specifically on India, Enel Green Power attained a significant position within the nation by acquiring a majority share in BLP Energy for ?30 million ($220 crore). Such strategic investments, spanning several years, empower Enel Green Power India to bolster its presence and operations within India’s renewable energy market landscape.

Brookfield’s 2 GW portfolio up for grabs: In addition to the bidding war for Enel Group’s assets, energy producers Sekura Energy, Sembcorp, and Masdar Energy are also vying for Brookfield’s generous renewable portfolio. Comprising an impressive 2 GW capacity and estimated to be worth between $800 million to $1 billion (?6,600-8,300 crore), Brookfield’s portfolio presents a highly enticing investment opportunity for contenders hoping to capitalize on India’s expanding renewable energy market.

JSW Neo Energy and Sekura Energy in fierce competition for stakes in Ayana Renewable Power: Meanwhile JSW Neo Energy and Sekura Energy are engaged in fierce discussions regarding the acquisition of a controlling stake in Ayana Renewable Power. This opportunity, valued approximately at $2 billion, has attracted substantial interest. The parties involved recognize the immense growth potential in the renewable energy sector and are prepared to make strategic investments in line with their dynamic business strategies.

ONGC’s green energy ambitions: ONGC, Oil & Natural Gas Corporation Limited, is actively pursuing clean energy assets as part of its commitment to decarbonization. The company has set an ambitious target to achieve a renewable energy capacity of 10 GW by 2030 with a substantial investment fund of ?1 lakh crore. Motivated by sustainability concerns and the global shift toward cleaner sources of energy, ONGC recognizes the potential of India’s renewable energy market and the lucrative returns it can offer in the long run.

Strengthening India’s renewable energy sector: India’s renewable energy sector continues to chart an upward trajectory, propelled by robust government policy support, aggressive strategies for achieving tariff competitiveness, and growing sustainability initiatives undertaken by large commercial and industrial customers. These favorable conditions contribute to the sector’s overall stability, making it an attractive destination for potential investors seeking to secure a foothold in one of the world’s fastest-growing economies. As private firms like Enel, Masdar Energy, Sekura Energy, and ONGC package attractive deals in the renewable energy realm, it becomes increasingly clear that the sector’s growth story in India is far from over. While investments rise and acquisitions progress undeterred, the renewable energy sector remains poised for continuous expansion and positive change in the coming months and years to meet India’s growing energy needs in an environmentally conscious manner.

Aayush Kukreja Apart from being a literature student and a theatre practitioner, Aayush is a daydreamer! He loves poetry and just as a poet should be, he’s witty, opinionated and completely clueless about life. Reach out to him anytime for some good old sher-o-shayari. Here, he writes about the quirkiest and the most interesting of things. To the rhythm of life and words, cheers!
  • Super Quick & Easy
  • Stamped & E-Signed
  • Delivered Directly in Mailbox

Exploring Options for Buying or Renting Property

Looking to buy or rent property
Contact Our Real Estate Experts