Macquarie Group of Australia, which is an infrastructure fund, has recently announced that it will be buying the assets of solar operations from Hindustan Power Projects Pvt. Ltd. for a handsome sum and enterprise value of 600 million dollars. The assets are worth a capacity of about 330 Megawatts.
The sources who requested to be anonymous revealed that the deal at the moment is at an advanced stage and will soon be completed. The agreement between Macquarie Group and Hindustan Power Projects Pvt. Ltd. has been signed and will mark the entry of the Macquarie Group in the renewable energy market in India.
The sources also said that MAIF (Macquarie Asia Infrastructure Fund) will be holding a 100 percent stake in the assets that will be acquired. The project is said to start from the year 2010 and therefore the purchase of the power tariffs is lower than the current tariffs that have been prevailing.
However, when asked in this context, both Macquarie Group as well as Hindustan Power Projects declined to the comment.
This agreement pertaining to the acquisition of the assets of the two companies has been estimated to be about 600 million dollars. The 250 million dollars of this amount is the equity for this deal, while the remaining 350 million dollars of this deal will be associated as debt for the project.
Macquarie Group wants to set up facilities for renewable energy in India dealing with both solar energy as well as wind energy. In order to strengthen their portfolio in India, they are looking forward to acquire other assets and are engaging in communication with other companies.
Hindustan Power Projects was initially known as Moser Baer Projects. The company at the moment has reached a capacity of 600 Megawatts and works under the corporation and collaboration with its subsidiary, which is Hindustan Clean Energy and is managed by the able and experienced Ratul Puri who is the chairman of the company.
Hindustan Power Projects aims to achieve a capacity of 2 Gigawatts by the end of the year 2017 and has also planned to achieve a target of 7 Gigawatts by the year 2020.
Since Macquarie Group of Australia is one of the leading pioneers of infrastructure and its operations all across the globe, its deal with the Indian company will be reaping huge benefits for our country and boosting the energy sector with a significant amount. It will provide an opportunity for the energy sector of the country to grow and reach greater heights.