JSW Energy to acquire O2 Power’s 4.7 GW portfolio for $1.47B
India’s JSW Energy’s JSW Neo Energy is acquiring renewable energy platform O2 Power’s subsidiaries in a deal worth USD 1.47 billion.
O2 Power is backed by Singapore state-owned Temasek and EQT Infrastructure. EQT will exit O2 Power following the deal.
JSW will acquire a renewable portfolio of 4.7 GW from O2 Power. While 2.26 GW of capacity is expected to be operational by June 2025, the remainder is due to be commissioned by June 2027, according to a Reutersreport.
The acquisition, which is expected to be completed on or before May 26, 2025, will boost JSW Energy’s bid to achieve 20 GW renewable-led capacity before fiscal 2030.
The transaction is subject to approval of the Competition Commission of India (CCI) and other customary approvals.
“We are thrilled to announce the acquisition of O2 Power’s 4.7 GW renewable energy platform which is JSW Energy’s largest acquisition since inception,” Sharad Mahendra, Joint Managing Director and CEO of JSW Energy, said. “This landmark acquisition strengthens our positioning as a leading player in India’s energy sector. These high-quality assets strengthen our operational footprint across key resource-rich states.”
“This is a very attractive acquisition — both from ‘build versus buy’ trade off as well as from a quality and value perspective when compared to all acquisitions in this space during recent times,” Pritesh Vinay, director-finance and chief financial officer, JSW Energy, said. “JSW Energy remains focused on pursuing value-accretive opportunities that support our ambitious growth objectives in the power sector.”
“This marks the beginning of the next phase for O2 Power. We had started with the vision to build a RE platform with a strong portfolio, and have been successful in delivering the targets we had set out with,” Parag Sharma, CEO of O2 Power, said. “We thank EQT and Temasek for being our strong support during this phase of inception and initial growth. We look forward to working with JSW Neo Energy for the next phase.”
“The transaction marks a significant milestone for EQT in Asia Pacific, as O2 Power was EQT’s first infrastructure investment in the region. And, it is now the firm’s first infrastructure exit,” EQT Infrastructure and Temasek, said in a statement.
