Torrent Power buys solar plant in TS for Rs 416 cr

Hyderabad: Gujarat-based Torrent Power on Monday said it has acquired 50-megawatt solar assets from SkyPower Group at an enterprise value of Rs416 crore.

The solar power plant, which is a special purpose vehicle (SPV) located in Telangana, has a 25-year power purchase agreement (PPA) with Northern Power Distribution Company of Telangana Limited (NPDCTL). The PPA is at a fixed tariff of Rs5.35 per kWh (kilowatt-hour), the company said in a statement. The company in the statement said: "Torrent Power completes acquisition of 50 MW Solar Power Plant from SkyPower Group pursuant to Securities Purchase Agreement with SkyPower Southeast Asia III Investments Ltd and SkyPower Southeast Asia Holdings 2 Ltd and Sunshakti Solar Power Projects Private Limited (SPV)."

The enterprise value for this acquisition is about Rs416 crore, consequent to closing adjustments, it added. According to the statement, Torrent Power currently has an aggregate installed generation capacity of 4.1 GW, which consists largely of clean generation sources, such as gas 2.7 GW and renewables 1 GW. It also has a capacity of 0.5 GW of renewable energy plants under development. With the acquisition of a 50 MW Solar Power Plant, Torrent Power's total generation capacity, including under development portfolio, will reach 4.7 GW with a renewable portfolio of more than 1.6 GW.