CCI clears ONGPL’s proposal to acquire Ayana for $2.3B
This is the second mega deal in India’s renewable energy sector after Adani Green Energy acquired SB Energy India from SoftBank Group and Bharti in an all-cash deal worth USD 3.5 billion in 2021.
The Competition Commission of India (CCI) has cleared ONGC-NTPC Green’s (ONGPL) proposal to acquire renewable energy firm Ayana Renewable Power Pvt Ltd (Ayana) for INR 195 billion (USD 2.3 billion), according to a report by news agency PTI.
This is the second mega deal in India’s renewable energy sector after Adani Green Energy acquired SB Energy India from SoftBank Group Corp (SBG) and Bharti Group in an all-cash deal worth USD 3.5 billion in 2021.
“CCI approves the proposed combination involving the acquisition of Ayana Renewable Power Pvt Ltd by ONGC NTPC Green Pvt Ltd,” the Competition Commission of India (CCI) said in a post on social media platform X.
ONGC-NTPC Green Pvt Ltd (ONGPL) is a 50:50 joint venture between ONGC Green (OGL) and NTPC Green Energy Ltd (NGEL).
ONGC NTPC Green is not yet operational but its parent companies, Oil and Natural Gas Corporation (ONGC) and NTPC Limited, have been expanding their renewable energy portfolios.
ONGPL had recently signed a share purchase agreement to acquire a 100% equity stake in Ayana. The agreement was signed with Ayana’s current shareholders National Investment and Infrastructure Fund (NIIF) (51%), British International Investment Plc (BII) and its subsidiaries (32%), and Eversource Capital (17%).
Ayana has around 4.1 GW of operational and under-construction assets, strategically located across resource-rich states.
The deal is another significant step in India’s bid to expand the renewable energy sector. India has a stated goal of achieving 500 GW of non-fossil fuel capacity by 2030.