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BIZ-GREENKO-ACQUISITION

BIZ-GREENKO-ACQUISITION

Greenko inks pact to acquireOrange Renewables at USD 922 mn enterprise value Hyderabad, Jun 4(PTI) Greenko Energy Holdings (Greenko), one of the leading renewable energy companies, today announced that they entered into a definitive purchase agreement to acquire Orange Renewables Singapore for a total enterprise value of approximately USD 922 million. According to a press release, Greenko said once materialised, the deal will add about 907 MW operating and near completion assets to Greenkos existing portfolio of over 3 GW operational capacity taking overall operational capacity to about 4 GW of well diversified and de-risked portfolio of Wind, Solar and Hydro. The release did not disclose the value of equity that Greenko is paying to acquire the Singaporean company. Orange Renewables was promoted by Singapore-based AT Capital owned by Arvind Tiku. The deal is accretive to Greenkos EBITDA upon closing, approximately USD 130 Million accretive in the first full year after close, with additional accretion and growth anticipated thereafter. Greenko overall under-construction capacity in addition to the 4 GW operational capacity is over 7 GW, taking its total operating capacity to about 11 GW, clearly establishing leadership position in the Indian Renewable Energy Sector. "The proposed acquisition of Orange Renewable assets is expected to augment capacity, revenue, EBITDA growth and drive overall earnings growth potential for Greenko and its stakeholders," Managing Director and chief executive officer, Greenko, Anil Chalamalasetty said. Indian Energy Markets are transitioning from deficit markets to demand driven contracts requiring reliable, flexible and cost competitive energy. Greenko is focussing in building Integrated Renewable Energy assets with storage to address these markets by competing with conventional energy assets like thermal in quality, quantity and cost, Chalamalasetty added. PTI GDK ROH ROH ROH