Adani Green Energy Acquires Remaining 51% Stake in Karnataka’s Kodangal Solar Parks
The acquisition aims to consolidate Adani Green Energy’s interest in the 20 MW solar project
Adani Green Energy has announced the acquisition of a 51 percent equity share capital in Kodangal Solar Parks Private Limited (KSPPL), comprising a 20 MW solar project which was incorporated back in August 2015.
In a filing to the Securities and Exchange Board of India (SEBI), Adani Renewables mentioned that it has acquired the remaining equity stake in the solar project from FS India Devco Private Limited.
“KSPPL stake is acquired with an object of consolidating the company’s interest in KSPPL and within the overall objective of the company. With this acquisition, KSPPL has become wholly-owned subsidiary of the company,” the company stated in the filing.
According to the document, the amount paid by Adani Green for the acquisition of the 107,100 equity shares is ₹158.04 (~$2.24) per share, which totals to approximately ₹16.9 million ($239,000). The project is located in Bagewadi, Bijapur district in Karnataka, and will supply power to the Bangalore Electricity Supply Company (BESCOM) at a tariff of ₹5.48/kWh ($0.077/kWh) for a period of 25 years.
Adani Green Energy had acquired 49 percent stake in Kodangal Solar Park on March 22, 2018. Accordingly, KSPPL had became a joint venture of the company.
In February 2018, the renewable energy business of Adani Enterprises was demerged into Adani Green Energy. Adani Green was incorporated in January 2015 and operates with 22 subsidiaries and associates. In June 2018, Mercom reported on the news of Adani Green being listed on the Indian stock exchanges.
In August 2018, Mercom also reported on the news of the huge jump in Adani Green’s Q1 FY19 revenue. The company had reported a 148 percent increase in its top line when compared to the same quarter in the previous financial year.
On Monday, January 14, 2019, the Adani Green’s share price opened at ₹40.50 ($0.57) around 1.5 percent higher than the previous session’s close. However, it is trading significantly below (44.5 percent) its 52-week high of ₹73 ($1.03).
Shaurya is a staff reporter at MercomIndia.com with experience working in the Indian solar energy industry for the past four years in various roles. Prior to joining Mercom, Shaurya worked with a renewable energy developer and a consulting company. Shaurya holds a Bachelors Degree in Business Management from Lancaster University in the United Kingdom.