L&T to sell Singoli Bhatwari hydroelectric project to Renew Power

TAGS

Larsen & Toubro (L&T) has agreed to sell its 100% stake in the 99MW Singoli Bhatwari hydroelectric project in Uttarakhand to Renew Power Private Limited for INR 985 crores.

The run of the river hydroelectric power plant is owned by Larsen & Toubro’s subsidiary L&T Uttaranchal Hydropower Limited (LTUHPL). Its acquirer will be Renew Power’s subsidiary Renew Power Services Private Limited.

The Singoli Bhatwari hydroelectric project is made up of three units, each of 33MW. It has been built on Mandakini River, the right bank tributary of River Alaknanda River, in Garhwal, Rudraprayag district.

See also  Wipro launches new Cloud Car platform at MWC Barcelona 2022

Sumant Sinha — Founder, Chairman, and CEO of ReNew Power, commenting on the acquisition of the Singoli Bhatwari project, said, “Given that the asset is already operational, the acquisition is not only value accretive for us but also presents a lower level of risk. It strengthens our ability to provide firm and round the clock power to the grid and compliments our solar and wind assets, filling up an important position in our portfolio.

See also  State Bank of India shatters records: Skyrockets to Rs 40,378cr profit in 9MFY24

“We will be looking to acquire more hydro assets in future as they are the best clean balancing sources for intermittent renewable energy.”

L&T to sell Singoli Bhatwari hydroelectric project to Renew Power

L&T to sell Singoli Bhatwari hydroelectric project to Renew Power. Photo courtesy of 子墨 黄 from Pixabay.

Larsen & Toubro said that the sale aligns with its focus on offloading non-core assets and enhancing shareholder value.

The deal, which is subject to customary closing conditions, is expected to be wrapped up by 30 September 2021.

See also  Godrej & Boyce wins Rs 468cr steam generators contract from NPCIL

Commenting on the acquisition of the Singoli Bhatwari hydropower project, D K Sen — Whole-time Director at Larsen & Toubro, said: “This development is a significant step in our effort to unlock the value of some of our power development assets to streamline and allocate capital to create long term value for our shareholders.

“It represents our strategic effort to increase focus on our core strengths and exit others to move towards becoming a more asset-light organization.”

CATEGORIES
TAGS
Share This