ReNew Power Ventures is exploring an overseas initial public offering (IPO) on the back of interest from Thailand’s state-owned oil company PPT Group in Goldman Sachs’ stake in the company. This also comes after plans for an Indian IPO was halted.
“The potential PTT transaction may be a precursor to the ReNew IPO and a stepping stone to it, but no firm decision has been taken,” one source told Mint.
Moneycontrol could not independently verify the report.
The source said that listing is “long-drawn process and it takes six to seven months,” adding that this will provide shareholders an option to exit. “The process is not very far advanced. Bankers are making pitches. This is a capital-intensive business, and they are looking at all options to raise resources,” they stated.
A second source said the IPO could be listed in the United States or the United Kingdom.
ReNew’s bevy of international investors also includes the Abu Dhabi Investment Authority (ADIA), the Canada Pension Plan Investment Board (CPPIB), GEF SACEF India and JERA (Japan).
The report further noted that ReNew listing abroad could provide a blueprint for other Indian energy companies, even as the space saw increased interest oil giants looking to diversify amid technological disruptions in the conventional energy space.
PTT’s move comes as Malaysia’s state-run Petroliam Nasional Bhd (Petronas) acquired Amplus Energy Solutions in April 2019; France’s Total SA’s joint venture with Adani Green Energy and Norway’s Statoil ASA, Royal Dutch Shell Plc and Russia’s Rosneft interest in India’s clean energy space.
“Globally, ESG (environmental, social and governance) investing is a fairly big deal. Given the scenario, perhaps the receptivity (of the IPO) will be better overseas," said the first person.
Besides the IPO, the green energy company is looking to refinance domestic debt by raising close to $320 million from the offshore bond market; looking to set up a 2 GW cell module manufacturing unit in India through funds from asset sales, it added.
ReNew, Goldman Sachs and PPT Group did not respond to queries, the report said.
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