Solar developer and engineering, procurement, and construction (EPC) company Rays Power Infra has sold its solar projects in Tamil Nadu, Karnataka, and Telangana to two global investors with a significant presence in India for an aggregate enterprise value of over ₹7 billion (~$90.55 million).

According to the company, post this portfolio sale, it has become completely debt-free with additional cash to boost its next phase of green energy development. The company plans to use the funds to develop large-scale commercial and industrial (C&I) projects and mega solar parks across India.

“Solar is the future clean energy source for generations to come. Albeit, we still have a long way to go. At Rays Power, we are well on track to leading India’s solar energy development. Our latest transaction with distinguished global investors having considerable presence in India has opened the gates for ground-breaking developments, which will accelerate future strategies of implementing large scale C&I projects and mega solar parks across India,” said Pawan Sharma, Director of Rays Power Infra.

The recently sold assets had debt worth approximately ₹4 billion (~$51.74 million) and earnings before interest, taxes, depreciation, and amortization (EBITDA) of ₹950 million (~$12.29 million). These were high-tariff, well-performing assets commissioned between 2017 and 2020.

Rays Power has already commissioned 1 GW of solar energy and expects to generate the following 3 GW of green energy within three years. The company is developing three solar parks in Rajasthan, totaling 2.3 GW, and executing EPC projects of 225 MW in India and 280 MW overseas.

Apart from India, Rays Power Infra has a presence in Vietnam and Bangladesh as an EPC company for large-scale solar projects. The company is now looking to expand its EPC presence across Asia and Africa.

In 2018, Rays Power Infra secured ₹2 billion (~$28.4 million) through hybrid debt and equity financing from lender and asset management firm DMI Finance. The company utilized the funds to grow its business in the utility-scale solar segment.

In 2017, Rays Power Infra entered into a power purchase agreement with Tamil Nadu utility TANGEDCO. The company bid for 200 MW but was awarded 100 MW.