JSW Energy’s wholly-owned subsidiary -- JSW Neo Energy (JSWNEL), in a two-step process has completed the acquisition of 1,753 MW of renewable energy assets from Mytrah Energy (India) (MEIPL). The acquisition includes 15 SPVs and 13 ancillary SPVs having 1,449 MW of total installed renewable energy capacity. The said 28 subsidiaries of MEIPL have now become subsidiaries of JSW Neo and accordingly step-down subsidiaries of the Company. It also includes infusion of Optionally Convertible Debentures (OCDs) with a right to convert into equity and has executed binding definitive Forward Sale Agreements for the balance 2 SPVs having renewable energy assets of 304 MW.
The Mytrah portfolio of 1,753 MW comprises of 1,331 MW of wind capacity and 422 MW (487 MWp DC) of solar capacity operating primarily in the southern, western and central parts of India. The assets have a proven operational track record and long-term PPA with an average remaining life of around 17 years. The transaction values the Mytrah Energy portfolio at an Enterprise Valuation of around Rs 10,150 crore, after adjusting for net current assets and other adjustments under the SPAs (Share Purchase Agreements).
This is the largest acquisition made by JSW Energy since inception, and will leapfrog the current operational capacity by over 36% from 4,811 MW to 6,564 MW. Moreover, with about 2.9 GW of under-construction projects which are likely to be commissioned in phases over the next 12-18 months, JSW Energy is well ahead of its target to reach 10GW operating company by FY2025 with the share of renewables increasing to around 61%. Closure of this deal demonstrates the company’s unique ability to swiftly acquire large, complex portfolios that can add significant value to its shareholders.
JSW Energy, part of the JSW Group, is a growing energy company. The Group has diversified interests in carbon steel, power, mining, industrial gases, port facilities, aluminium, cement and information technology.
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