DLF had created a separate subsidiary called DLF Wind Power for its wind energy business as a precursor to sell its wind assets. The subsidiary DLF Wind Power had been placed in the market some time in March-April last year to enable it divest its non-core business and help with its debt repayment.
The company was being advised by Ernst & Young in this regards and the initial names doing the rounds included BG Group Plc, Hong Kong-based CLP Group , India’s Adani Group, Essar Power and Infrastructure Leasing & Financial Services Ltd.
CLP India is a part of the CLP Group and as readers must be aware just a few days back announced the commencement of their 99MW Theni Wind Farm
The size of installed capacity at that time was expected to be around 260MW making DLF Wind Power one of the largest IPP wind developers in India. The expected valuation was close to 1100 crore. The due diligence was carried out by Paris-based Gaz de France, a major energy player in Europe and renewable energy group Akuo Energy. However it was rumored that the deal fell through on accounts of valuation.
Since, DLF announced today that they had decided to retain its wind energy business valued at Rs 1,000 crore because of tax benefits. DLF has an installed capacity of 260 MW and operates in four states – Tamil Nadu, Karnataka, Gujarat and Rajasthan.