Adani Green Energy Limited (AGEL) on Wednesday announced the acquisition of a 50 per cent stake in Essel Saurya Urja Company of Rajasthan Limited (ESUCRL) through wholly-owned subsidiary Adani Renewable Energy Holding Two Limited in a cash deal of ₹15 crore.

Adani Renewable Energy Holding Two Limited entered into a binding term sheet on January 17, 2023, to acquire 50 per cent equity interest in ESUCRL from Seller, a regulatory filing said. The remaining 50 per cent of the equity shares shall continue to be held by the Government of Rajasthan.

ESUCRL is in the business of developing solar parks to enable setting up renewable energy generation plants by developers. ESUCRL owns and operates a solar park in Rajasthan with a capacity of 750 MW in the state of Rajasthan.

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The transaction is expected to be completed by February 28, 2023, the filing said.

“The acquisition will expand AGEL’s footprint in the state of Rajasthan, where AGEL already owns and operates a solar park in a joint venture Company with the Government of Rajasthan i.e. Adani Renewable Energy Park Rajasthan Limited. The acquisition is expected to be value accretive to our shareholders,” AGEL filing said.

Incorporated in 2015, ESURCL recorded revenues of ₹9.87 crore for the year 2021-22, a steep increase from ₹1.09 crore recorded for the year 2020-21.

“The closing of the transaction is subject to customary approvals, conditions and execution of detailed Share Purchase Agreement,” the statement said.

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AGEL shares traded in red after the announcement at ₹2,104.7, down by 3 per cent from previous close on BSE.

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