Japan’s Orix Buys 873 Megawatts Of Wind Capacity In Indian Stressed Asset Sale
Japanese financial company Orix
has acquired a 51% stake in IL&FS Wind Energy Limited, a subsidiary of the troubled financial company Infrastructure Leasing & Financial Services Limited.
With this acquisition, Orix now holds the entire 100% stake in IL&FS Wind Energy and gives it complete control over an operational capacity of 873 megawatts.
IL&FS Wind Energy
owned the wind energy capacity through 7 special purpose vehicles in which Orix already had a 49% stake.
According to earlier reports,
government-owned gas utility GAIL had also expressed interest in the complete acquisition of IL&FS Wind Energy.
GAIL is believed to have submitted a bid worth Rs 4,800 crore (US$670 million).
However, as Orix was already an existing shareholder in the company and had the first right of refusal, which it successfully exercised.
Liquidity crunch and the inability to service debt is an epidemic spreading rapidly through the Indian economy with several companies operating at the brink of collapse.
We covered the story of Suzlon Energy which is reportedly planning a stressed sale as well.
Within the renewable energy market, several well-placed companies and leaders in the sector are looking to raise funds by selling assets into a yieldco after scrapping plans to raise funds from the equity market.
CleanTechnica
https://www.orix.co.jp/grp/company/newsroom/newsrelease/190814_ORIXJ.html
IL&FS gets approval for sale of wind projects to Orix Corp – The Economic Times