Virescent Renewable Energy acquires 100% stake in Godawari Green Energy

21 Feb 2022 , 04:05 PM

Virescent Renewable Energy Trust (VRET) has signed a Share Purchase Agreement on February 19, 2022, for the acquisition of 100% shareholding and management control in Godawari Green Energy Limited owned by Godawari Power and Ispat Limited. The completion of acquisition would depend upon receipt of relevant approvals and completion of contractual obligations, the company said in a filing on Saturday.

The Enterprise Value is approximately Rs665 crore as of the valuation date, subject to balance sheet adjustments and other adjustments as specified in the definitive agreements.

“The acquisition of aforesaid solar asset is in line with the VRET investment strategy as provided in the Trust Deed with a focus to ensure stable distribution to unitholders by owning assets with long term contracts,” company said in a filing.

GGEL was incorporated on July 16, 2009. GGEL operates 50 MW concentrated solar power plant in the state of Rajasthan. GGEL entered into PPA with NTPC Vidyut Vyapar Nigam Limited on January 10, 2011, for tenor of 25 years (as amended vide amendment agreements dated November 28, 2011 and September 19, 2013). The project was commissioned in June 2013.