Partners Group to Acquire Majority Stake in Sunsure Energy for $400 Million
Sunsure aims to install 3 GW operational capacity to cater to the C&I sector
December 8, 2022
Global private markets firm Partners Group said it will acquire a majority stake in India-based renewable energy and decarbonization platform Sunsure Energy.
Partners Group will invest up to $400 million to enable Sunsure to build and own utility-scale solar, wind, solar-wind hybrid, and battery storage-enabled renewable energy projects.
Luv Parikh, Managing Director, Private Infrastructure Asia, Partners Group, says, “Sunsure is a transformational, next-generation infrastructure investment opportunity in India’s growing renewable energy sector …We intend to help companies operating in India meet decarbonization goals and assist in the country’s overall energy transition.”
Parikh added that through this investment, Partners Group would support Sunsure in executing its pipeline of renewable projects and assist them in offering new services to commercial and industrial (C&I) customers.
Sunsure is targeting 3 GW of operational capacity from Partners Group’s equity commitment and will focus on selling power directly to C&I customers through long-term power purchase agreements (PPAs).
Sunsure, founded in 2015, has historically built solar power projects for C&I and third-party renewable power producers across multiple industries in 16 Indian states.
India is the third largest electricity market in the world, with C&I customers consuming over 50% of the power generated. Most of this power demand today is still sourced from non-renewable sources.
Sunsure will expand the scope of existing client relationships to provide additional value-added services, such as energy-as-a-service and carbon credit management.
“At Sunsure, we are looking to bridge the gap between the availability of significant solar and wind energy resources in India, and the production of solar and wind power,” Shashank Sharma, Founder and Chief Executive Officer of Sunsure Energy, said.
“Sunsure’s transition into an independent power producer is the best way to ensure more businesses benefit from low-cost solar and wind power in the future,” Sharma added.
Bharath Rajagopalan, Member of Management, Private Infrastructure Asia, Partners Group, added: “There is also a strong economic rationale for India’s C&I customers to purchase renewable power directly from independent producers such as Sunsure.”
Rajagopalan added that the government’s far-sighted renewable energy policy combined with India’s resilient economic growth are additional tailwinds for Sunsure and the Indian renewable energy space.
Partners Group’s Private Infrastructure business has $21 billion in assets under management and has made over 130 investments in 18 countries globally.
In November, Sunsure Energy commissioned a 74 MW open-access solar power project in the Tirunelveli district of Tamil Nadu.
Last year, the global private markets firm agreed to acquire a controlling equity stake in Dimension Renewable Energy, a distributed energy platform focusing on community solar and battery storage across the U.S.