According to reports, IDFC-PE-funded renewable energy producer, Green Infra, could be taken over by Singapore-based Sembcorp. Industry sources said that a deal was hammered out in a shareholders meeting on Tuesday, but some company insiders said that the talks were in the final stages.
Green Infra has close to 500 MW of wind power and 35 MW of solar.
Two funds of IDFC-PE have invested in Green Infra – funds II and III. They hold one third and two-thirds of the equity. It is learnt that while Fund II will sell out to Sembcorp, Fund III will hold on for a few more years, and exit in a IPO that Sembcorp is planning for later.
The Piramal group and the UK-based fund, CDC, have also invested in Green Infra, in the form of convertible debt. These will now be converted into equity and as such, Sembcorp will end up with a majority, sources said.
Green Infra has grown its assets also by acquisition. In 2009, it bought over 100 MW of the wind assets of BP (British Petroleum), and last year, it purchased 60 MW of the TVS group.
The Managing Director and CEO of Green Infra, Mr Shivanand Nimbargi, did not respond to calls and messages requesting confirmation.
Sembcorp Industries is a leading energy, water and marine group operating across six continents worldwide. It has over 7,200 megawatts of gross power capacity and over eight million cubic metres of water per day in operation and under development, the company’s website says.