Energy major TOTAL will acquire 50 per cent stake in all operational renewable energy projects of Adani Green Energy Ltd (AGEL) for USD 510 million.
"AGEL and Total Gas & Power Business Services SAS (TOTAL) have entered into a binding arrangement for investment of approximately USD 510 Million for acquisition of 50 per cent stake and other instruments in a Joint Venture Company (JVCo) which will house 2,148 MWac operating solar projects presently 100 per cent owned by AGEL. The balance 50 per cent stake in the JV Co. shall be held by AGEL," the Adani Group firm said in a statement.
The solar portfolio is spread across 11 states in India.
The transaction is subject to customary approvals and definitive agreements, it added.
Adani Group Chairman Gautam Adani said, "We are delighted to extend our long term partnership with TOTAL to our renewable energy business in AGEL. The investment reinforces the immense potential in India's renewable energy sector, as well as Adani group commitment towards sustainable development. This is a pivotal step in our journey towards building the world's largest solar power company by 2025 and the world's largest renewable power company by 2030."
TOTAL Chairman and Chief Executive Officer Patrick Pouyanne said, "This interest in over 2 GW of solar projects represents a real change of scale of our presence in India's renewable energy sector, which has very significant growth potential in the coming years. It will contribute to our ambition to deploy 25 GW of renewable energy by 2025."
TOTAL is a major energy player that produces and markets fuels, natural gas and low-carbon electricity and has 1,00,000 employees in more than 130 countries.
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