Mahindra & Mahindra to take stake in ReNew Sunlight Energy for Rs 16cr

Mahindra & Mahindra has signed a share subscription and shareholders’ agreement to acquire a stake of 31.2% in ReNew Sunlight Energy Private Limited (RSEPL) for INR 16.07 crores in cash.

The deal is expected to close by the year end.

Additionally, Mahindra & Mahindra and ReNew Sunlight Energy have signed a power delivery agreement under which the latter as a captive generator will supply solar power to the former as a captive user.

Incorporated in late 2020, ReNew Sunlight Energy is a subsidiary of ReNew Green Energy Solutions, which in turn is owned by Renew Power Private Limited.

Mahindra & Mahindra to take stake in ReNew Sunlight Energy for Rs 16cr. Photo courtesy of andreas160578 from Pixabay.

ReNew Sunlight Energy was founded with the intention to set up a solar park and generate power.

The company will build, own, and operate a 58MW captive solar power plant, which will generate nearly 100 million units a year and feed it into the Maharashtra State Electricity Distribution Company Limited grid (MSEDCL grid).

Under the open access arrangement of Mahindra & Mahindra with the electricity distribution firms, the company’s manufacturing plants in Maharashtra will use the said solar power generated.