Four large transactions in wind energy happened in 2013, according to a report complied by Mercom Capital Group.
A quick summary of the four
Nagarjuna Agrichem, an Indian agrochemicals maker, sold off its entire wind power business for Rs 30 crore as part of its strategy to consolidate on core business.
Goyal MG Gases, an Indian manufacturer and supplier of industrial gases, acquired an 11.2 MW wind project from DLF for Rs 29.52 crore
Continuum Wind Energy, a wind project developer, backed by Morgan Stanley Infrastructure Partners has acquired DJ Energy and Uttar Urja Power Projects from Delhi based Sravanthi Group totaling 178.7 MW.
Green Infra, a renewable energy power producer has acquired a majority stake in TVS Energy, a subsidiary of TVS Motor, for an undisclosed amount. With the latest acquisition, Green Infra has added 59.75 MW of wind farms across Tamil Nadu and Maharashtra, taking its operating capacity to 377 MW.
What do these point to?
A reading of the above clearly shows a not-surprising trend: Prominent IPPs, keen on fast growth which most times mean inorganic growth, are lapping up wind power assets from independent developers, many of whom do not have much of a skin in the power development game and are keen to exit, especially if they already benefited from the AD benefits.
EAI expects this trend of IPP purchases of wind power capacity to grow even further 2014 and 2015. To this end, we have set up a special division to assist the buyers and sellers – the EAI Wind B2B, a part of EAI B2B.