2017-10-25 / Webmaster
Hero Group set to buy wind energy assets of Bhilwara
The Hero Group is close to acquiring almost the entire wind energy portfolio of the LNJ Bhilwara Group, helping the buyer emerge as one of the biggest players in the rapidly growing sector that has seen large M&A deals in recent months.
The acquisition, on the verge of being finalised, follows several deals since last year in the sector, involving the Tatas, Sun Edison, CLP Holdings and other companies. Several Indian and foreign groups including the Adanis and Softbank are also considering opportunities in the sector, which has expanded rapidly as companies have bid aggressively with razor-thin margins to grab auctioned projects by offering rockbottom tariffs.
Hero Future Energies (HFE) will acquire the portfolio of Bhilwara Energy Ltd (BEL) in an allcash deal, sources close to the development said. The size of deal is not yet known as some details remain to be worked out. It is acquiring 83.5 MW of wind projects out of BEL’s total of 103.5 MW across two states – a 49.5 MW project in Satara, a 14 MW one in Bhendewade, both Maharashtra, and a 20 MW project in Jaisalmer, Rajasthan.
This will take the Hero Group’s total portfolio to around 1200 MW, half of it in wind and the rest in solar energy, making it one of the largest renewable energy companies in the country.