Joint venture process paused: Azure Power received non-binding offers for up to half of a 950 MW Rajasthan portfolio at an implied EV of about ₹4,100 crore.
Azure Power Global has paused its plan to bring in a joint-venture partner for a 950 MW solar portfolio in Rajasthan. Non-binding offers were in for up to a 50%, at an implied enterprise value of about ₹4,100 crore and an equity value of about ₹1,000 crore, setting the price context if the process restarts.
The halted process, called Project Agile and run by Ambit, covered 300 MW operating at Bhadla in Rajasthan and 650 MW ready-to-build. The 650 MW comes from a 2019 SECI manufacturing-linked award split 300 MW and 350 MW. Estimated capex for the 650 MW is about ₹3,300 crore, which defines the near-term funding need if Azure builds on its own.
Azure Power reports 3.04 GW of operational capacity. CDPQ, Canadian pension fund, holds a 53.4% stake in Azure Power, India’s first renewable energy company to have listed on US stock exchanges. Ontario Municipal Employees’ Retirement System (OMERS) holds a 21.4% stake in it.
Azure Power had difficulty holding leadership, it has been frequent since 2019. CEO and COO exits occurred in 2022, followed by appointments through 2023, including Sunil Gupta as CEO and Sugata Sircar as group CFO, linking governance to execution on the Rajasthan build-out.
Yet, India is seeing a continuous deal for the renewable energy sector. Sembcorp and Actis are shortlisted for diligence in a potential $600 million transaction with Vibrant Energy. Fortum India and ONGC NTPC Green are providing current market benchmarks.
India has installed renewable capacity of 226.9 GW. Solar totals 119.02 GW, including 90.99 GW ground-mounted, 19.88 GW rooftop, 3.06 GW hybrid, and 5.09 GW off-grid. The government targets adding 50 GW annually to reach 500 GW by 2030, which is the backdrop against which Azure’s paused process may resume.
