ReNew Power raises additional $265 million of equity led by ADIA

ReNew Power Ventures Pvt. Ltd., one of India’s largest clean energy companies, has announced that it has raised new equity funding of $265 million from new and existing investors. The lead investor in this round is a subsidiary of the Abu Dhabi Investment Authority (ADIA), with a commitment of $200 million for a significant minority stake in ReNew Power.

The new funds will be used for capital expenditure related to implementation of solar and wind projects. ReNew Power’s largest investor Goldman Sachs, a global investment bank and active investor in India, is participating in its fourth round of funding in the company through an additional $50 million commitment, taking its total investment in the company to $370 million.

Another existing investor, Global Environment Fund will be adding up to $15 million to its existing investment, taking its total investment to $35 million. With this new round of funding, ReNew Power has raised a total equity of $655 million. The company currently has an asset base in excess of $1.5 billion and expects to finish the year with an asset base of over $2 billion.

Sumant Sinha, Founder Chairman and CEO, ReNew Power said: 

“This deal further positions ReNew as the preeminent company in the clean energy sector in India. We are at an inflection point where transformational use of natural resources will define our energy future. This fundraise comes at an exciting time for us as we enter a new phase of growth. The years ahead will define ReNew Power’s role in transforming how energy is produced, transmitted and distributed in this country.”

Ankur Sahu, Co-Head of private equity at Goldman Sachs in Asia, said:

“Since our initial investment in September 2011, ReNew Power has continued to demonstrate its leadership in this critical sector and expanded its clean energy portfolio. Goldman Sachs' additional investment in this fourth round of funding further verifies and symbolizes our continued conviction in the company’s strong future growth prospects and commitment to India's focus on clean energy."

Sridhar Narayan, Managing Director, Global Environment Fund India Advisors said: 

“We are delighted to participate again with world class partners investing in ReNew Power which has managed to consistently deliver scalable and optimal wind and solar projects across multiple states. Drawing on GEF’s experience investing in the renewable energy value chains across the Americas, Europe and Asia, we are looking forward to working with ReNew Power in building a world class energy company.”

Founded in early 2011 by Sumant Sinha, ReNew Power has more than 1,600 MW of commissioned and under-construction clean energy assets. Of this more than 700 MW assets are already commissioned. Currently, it operates in eight states (Gujarat, Haryana, Madhya Pradesh, Rajasthan, Maharashtra, Karnataka, Telangana and Andhra Pradesh) across the country. Additionally, it has a development pipeline of more than 1GW solar, wind and solar rooftop projects.