Torrent Power acquires 50 MW solar power plant from Lightsourcebp & UKCI

The SPV operates a 50 MW solar power plant in Maharashtra which has a 25-year long-term PPA with the Solar Energy Corporation of India (File Image of a solar power plant)

Torrent Power has entered into a Securities Purchase Agreement with Lightsource India and Lightsource Renewable Energy (India) for 100 percent share capital and securities of their solar power project LREHL Renewables India SPV 1 (SPV), as per a company statement on July 30.

The SPV operates a 50 MW solar power plant in Maharashtra, commissioned in April 2018, which has a 25-year long-term power purchase agreement (PPA) with the Solar Energy Corporation of India (SECI) for full capacity.

Estimated enterprise value of the project is close to Rs 317 crore, inclusive of the viability gap funding (VGF) receivable, the release said.

This acquisition takes Torrent’s total power generation capacity to over 4.5 GW (including under construction projects) and its renewable portfolio to more than 1.6 GW.

Torrent Power is an Rs 12,173 crore integrated power utility arm of Torrent Group with presence in the generation, transmission and distribution sectors. It has an aggregate installed generation capacity of 3,879 MW and an additional 815 MW under development.

Lightsource Renewable Energy (India) is a 100 percent subsidiary of Lightsourcebp (LSbp) the partnership between Lightsource Renewable Energy and British Petroleum; while Lightsource India is the jointly held overseas holding company of the UK Climate Investments LLP (UKCI) and LSbp.

The deal is subject to usual conditions for transaction closure. Greenstone Advisors LLP was the exclusive Financial Advisors to Lightsource India for this deal, it added.