Gip’s Sale Of Renewable Portfolio May Fetch ₹4,500 Crore Value

Industry:    2022-05-19

Infrastructure investor Global Infrastructure Partners (GIP) is seeking an enterprise value of around ₹4,500 crore for the sale of its Indian renewable energy portfolio comprising assets totalling 750 megawatts (MW), said two people aware of the development.

The sale of the renewable portfolio housed under the company Vector Green is the second major asset sale undertaken by GIP since entering India with the acquisition of IDFC Alternatives infrastructure funds in 2018. It had previously sold its roads portfolio of Highway Concessions One to American private equity fund KKR.

“A bunch of private equity funds such as KKR and Actis have evinced interest in the sale process and so have a few domestic renewable energy companies. GIP is seeking an enterprise value of around ₹4,500 crore for the sale. Non-binding bids for the portfolio came in earlier this month. Last year, GIP had held bilateral talks with a few parties for the sale of this portfolio but those were dropped later and a formal sale process was launched a couple of months ago,” said the one of the people mentioned above, requesting anonymity as the talks are private.

“The portfolio comprises a mix of solar and wind assets, including a few commercial and industrial projects. The assets are located across Andhra Pradesh, Telangana, Punjab and other states,” he said.

An email sent to GIP did not elicit a response till press time. KKR and Actis declined to comment on Mint’s queries.

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