JSW Neo Energy Ltd is a wholly owned subsidiary of JSW Energy Ltd, which has completed the acquisition of renewable energy platform O2 Power ₹124.68 million.
European Alternative Asset Manager EQT and Singapore’s Temasek hold 51% and 49% O2 power, respectively, with an overall capacity of 4.7 GW of renewable energy, including projects in the pipeline. With the completion of the deal, both majors in Global Investment Majors have withdrawn from the company, founded by former renewal power executives Parag Sharma, Peeyush Mohit and Rakesh Garg.
The platform was jointly established by EQT and Temasek in 2020.
September, Mint JSW is one of the shortlisted bidders to purchase O2 power, the report said. Fray’s other bidders are New York-based alternative investment firms Stonepeak, I Squared Capital and Macquarie Group.
A statement from JSW Energy said that the O2 Power had an installation capacity of 1,343 MW as of fiscal year 25. As a result, JSW Energy installed capacity in fiscal 25 to 12,212 MW (12.21 GW), with renewable energy capacity accounting for 6,554 MW, accounting for about 54% of its total energy generation capacity.
JSW’s clean energy push
Sharad Mahendra, co-managing director and CEO of JSW Energy, said: “We are pleased to announce that JSW Energy’s largest acquisition to date has completed 4.7 GW of O2 Power. This acquisition is accompanied by high-quality assets in the resource-rich state and a reliable track record in planning and execution.”
He noted that the development brings JSW Energy closer to significantly achieving its 20 GW renewable energy target by 2030.
Pritesh Vinay, director (finance) and CFO of JSW Energy, said: “O2 Power has built an attractive portfolio and pipeline of projects which adds to our asset base and strengths our operational capabilities and presence. Not only is this acquisition attractive – both from ‘Build vs Buy’ trade-off as well as from a quality and value perspective – but also we will draw synergies operationally as Well as enhanced portfolio returns from a competitive financing program to fund the deal.”
The platforms obtained include a 4,100 MW utility scale renewable energy project and a 596 MW commercial and industrial (C&I) capacity. Of the total platform capacity, there are 3,722 MW of Power Purchase Agreements (PPAs) with premium quality extrapolations as well as high-quality side businesses including utility scales and commercial and industrial customers. The statement said that an additional 974 MW of capacity has received the reward/intention and is awaiting signing of the PPA.
PricewaterhouseCoopers is a trading consultant for the company. Khaitan & Co and Herbert Smith are legal counsel, KPMG conducted financial and tax due diligence while Windproof nurses conducted technical due diligence, the company statement said.
