Reliance Industries Limited (RIL) on Saturday announced that it has completed the acquisition of 29.63% of the total paid-up equity share capital of Sterling and Wilson Renewable Energy Ltd (SWREL).
“This is further to the disclosures dated 10 October 2021, 31 December 2021 and 7 January 2022 made by the company intimating the execution of a definitive agreement for the acquisition of 40% stake in Sterling and Wilson Renewable Energy Limited (SWREL) by Reliance New Energy Limited,” said the RIL in a statement.
“We further wish to inform you that RNEL has, on 28 January completed the acquisition from the public shareholders of SWREL of 84,76,251 equity shares of SWREL of the face value of INR 1/- each at a price of INR 375/- per equity share aggregating INR 317,85,94,125 pursuant to the open offer made by RNEL, under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011,” it added.
Consequently, it said, RNEL holds 29.63% of the total paid-up equity share capital of SWREL.
Prior to this, SWREL on 3 January had said that RNESL has become its promoter post payment of balance ₹1,583 crore for acquisition of 25.90% equity in it.
With this transaction, RNESL and other group firms together held over 40% stake in SWREL.
Earlier, RNESL (acquirer), RIL and Reliance Ventures Ltd (RVL) had made an initial payment of ₹259 crore for the acquisition of 4.91 crore shares or 25.90% equity stake in the SWREL, showed a BSE filing.
Consequent to the allotment of the subscription shares and in accordance with the terms of the SSA and the SEBI (SAST) Regulations, the acquirer (RNESL) has been classified as a promoter of the target company (SWREL) along with the existing promoter and promoter group of the target company with effect from December 30, 2021, it stated.
On December 30, 2021, the acquirer deposited an additional over ₹1,583 crore in the cash escrow account, opened by the acquirer, which together with the initial cash deposit of ₹259.26 crore, made by the acquirer, “is equivalent to 100 per cent of the offer consideration payable under the open offer, assuming full acceptance of the open offer”, it said.
It further stated that the target company, after the receipt of shareholders’ approval on November 2, 2021, fulfilment of other conditions precedents under the SSA and in accordance with the articles of association of the target company, issued and allotted the subscription shares to the acquirer on 30 December 2021.
In October last year, RNESL had executed definitive agreements with Shapoorji Pallonji and Company Private Ltd (SPCPL), Khurshed Daruvala, and Sterling & Wilson Solar Ltd (SWSL) to acquire 40% stake post-money in SWSL through a series transactions.
