Welspun’s ₹2,000 Cr Green Energy Deal: Macquarie, RP Sanjiv Goenka In Final Race

Macquarie and the RP Sanjiv Goenka (RPSG) Group have emerged as the final contenders to acquire Welspun New Energy Ltd (WNEL), the renewable energy arm of the Welspun Group, according to a report by The Economic Times (ET). Final negotiations are underway, with the potential transaction expected to value WNEL at around ₹2,000 crore.

WNEL currently has around 45 MW of operational renewable energy capacity. Its largest project under construction is a 245 MW wind-solar hybrid project in Gujarat, while the company also has a 700 MW wind-solar-plus-storage pipeline.

The company is also developing projects in green hydrogen and ammonia and is targeting 5 GW of renewable energy capacity and 2 million tonnes per annum (MTPA) of green derivatives, including ammonia and methanol, by 2030.

WNEL’s Renewable Energy Portfolio

Welspun Renewable Energy has a project pipeline of around 1.5 GW across solar, hybrid and solar-plus-battery energy storage system (BESS) projects, according to a recent CareEdge Ratings report.

The company’s operating capacity stood at 45 MW at the end of March. This is expected to increase more than sevenfold to 325 MW by September, following the planned commissioning of projects under its subsidiary Mounting Renewable Power Ltd (MRPL).

The future pipeline includes projects that are proposed to be tied up with counterparties such as Gujarat Urja Vikas Nigam, the Solar Energy Corporation of India (SECI) and commercial and industrial customers, according to the ratings report.

RPSG Steps Up Renewable Energy Push

The potential transaction comes as RPSG expands its presence in renewable energy. Its renewable energy arm, Purvah Green Power, recently acquired a 1.4 GW operating solar portfolio from ReNew Solar Power for ₹4,859 crore.

The acquisition took Purvah Green Power’s total contracted renewable capacity to 4.8 GW, with the company targeting 10 GW in the next few years.

Welspun also has a history of large renewable energy transactions. About a decade ago, the group sold its 1.14 GW renewable energy portfolio to Tata Power Renewable Energy for around ₹10,000 crore.

More recently, Tata Motors signed a power purchase agreement with Welspun Renewable Energy to co-develop an 86 MW wind-solar hybrid project that will supply clean power to four Tata Motors manufacturing plants.