ReNew Power sells 10% stake to Japan’s Jera for $200 million
Japan’s Jera Co. Inc has picked up 10% stake in ReNew Power for $200 million. This takes the valuation of the Sumant Sinha promoted renewable energy company to $2 billion.business Updated: Feb 14, 2017 13:51 IST
Japan’s Jera Co. Inc has picked up 10% stake in ReNew Power for $200 million. This takes the valuation of the Sumant Sinha promoted renewable energy company to $2 billion.
Founded in 2011 by Sumant Sinha, ReNew Power is funded by Goldman Sachs, who remains the majority shareholder.
In October 2015, the company raised $265 million in equity capital from sovereign wealth fund Abu Dhabi Investment Authority and existing investors Goldman Sachs and Global Environment Fund.
The company also recently refinanced its debt through offshore dollar bonds.
Livemint reported that Sinha is in talks to raise up to $100 million in promoter financing to increase his stake in the company ahead of a proposed share sale.
The government has set a target of installing 175 gigawatts of renewable power by 2022. With India focusing on renewable energy to meet its climate change commitments, companies such as ReNew Power are in the thick of action.
In an interview recently, Sinha said the company’s initial public offering could potentially take place in the next financial year.
Sinha said he wanted to kick off the IPO after ReNew Power had 2 gigawatts (GW) of operational assets and could give investors a clear pathway to take its capacity to 3.5GW.
(With inputs from Livemint)