Suzlon Energy Limited (Suzlon) has announced that it will sell two of its solar subsidiaries to Ostro Energy, a wholly owned subsidiary of independent power producer, ReNew Power. The two subsidiaries are Shreyas Solarfarms Limited (Shreyas Solar) and Aalok Solarfarms Limited (Aalok Solar).
Shreyas Solar owns and operates a 20 MW solar energy project in Jodhpur district in Rajasthan. According to Suzlon, Shreyas Solar reported turnover for the financial year ended March 31, 2018, of ₹75 million ($1.08 million) and a net worth of ₹95 million ($1.37 million). Suzlon has received ₹101 million ($1.46 million) on the sale of 26% of its existing stake in Shreyas Solar, and the balance of the stake is expected to be transferred on receiving the remaining consideration of ₹97.4 million ($1.41 million).
Aalok Solar owns and operates a 10 MW solar energy project in the same region. The turnover of Aalok Solar for the financial year ended March 31, 2018, was ₹39.1 million ($560,000). The net worth of Aalok Solar as on March 31, 2018, was ₹49.8 million ($720,000). Suzlon received aggregate consideration of ₹50.6 million ($730,000) on the sale of 26% of its existing stake in Aalok Solar, and the balance of the stake is expected to be transferred on receiving a consideration of ₹48.7 million ($700,000), which is proposed to be completed in due course.
Shreyas Solar and Aalok Solar will now cease to exist as subsidiaries of Suzlon.
Last month, Mercom reported on the news of Suzlon completing the sale of two of its subsidiaries to CLP Wind Farms (India) Ltd. Suzlon had stated that it was selling its remaining stake in S.E Solar Limited and Gale Solar Farms Limited for consideration of ₹765.5 million ($11.1 million) and ₹225.4 million ($3.3 million) respectively.
In May 2018, Mercom reported on the news of ReNew Power planning to acquire 700 MW of renewable energy project across four states in India.