- Bharti Airtel Ltd. has acquired a 5.2% stake in Avaada energy’s arm Avaada MHBuldhana Pvt. Ltd. in an all-cash deal.
- Avaada MHBuldhana is a subsidiary of Avaada Energy Pvt. Ltd.
Bharti Airtel has acquired a 5.2% stake in Avaada Energy’s subsidiary Avaada MHBuldhana for Rs 4.55 crore (or about $613K) in an all-cash deal. With this move, Airtel seeks a foothold in the solar energy sector.
On Friday this week, Airtel said that it will acquire a 5.2% stake in Avaada Energy owned solar power firm Avaada MHBuldhana for Rs 4.55 crore in an all-cash deal.
Avaada MHBuldhana is a newly-formed entity that will become operational by March and, hence, the revenue of the company was nil as of 31 March 2020, said Bharti Airtel in an exchange filing.
So far, Avaada Energy has developed a portfolio of over 1-gigawatt (GW) solar and wind projects across the country. It has also built the first independent power producer (IPP) to have crossed 1 GW installed capacity in India, Bharti Airtel said.
“The company has entered into an agreement on November 19 for the acquisition of equity shares in Avaada MHBuldhana, a special purpose vehicle formed to own and operate the captive power plant, in terms of the regulatory requirement for captive power consumption under electricity laws,” it added.
Further, the deal will be completed till by March 2021.
In late September 2020, Airtel launched its cybersecurity services with an investment of Rs 100 crore to foothold in the industry that offers $13-15 billion in revenue potential over the next five years.
About Avaada MHBuldhana – Avaada MHBuldhana is a newly-formed subsidiary of Avaada Energy Pvt Ltd. that generates and transmits solar energy, and other sources of renewable energy.
the story was first reported by PTI (Press Trust Of India)