Japan’s financial services firm ORIX Corp. and Greenko Energy Holdings have concluded a deal for the investment of $980 million in Greenko, said two people aware of the development. This is the single largest foreign investment transaction in India’s clean energy space.
In addition, Greenko has also completed the acquisition of 40% stake in Teesta Urja Ltd, which is setting up the 1.2 gigawatt (GW) hydropower project in North Sikkim, for $250 million.
With the ORIX deal also adding 873 MW of its operating wind assets to Hyderabad-based Greenko’s portfolio, the completion of both these transactions takes Greenko’s operational portfolio to 7.3 GW—India’s largest operational clean energy portfolio.
The ORIX deal, announced last September, also pegged GIC Holdings Pte. Ltd and Abu Dhabi Investment Authority (ADIA) backed Greenko’s equity and enterprise value at $5.75 billion and $10.2 billion respectively.
Greenko posted a revenue of $661 million for the year ended 31 March 2020. The two sovereign funds— GIC and ADIA— have so far infused $2.2 billion into Greenko, which was founded by president and joint managing director Mahesh Kolli and chief executive and managing director Anil Kumar Chalamalasetty.