Kumar Birla, an industrialist and the chairman of the Aditya Birla Group, is set to sell up to 49% of his company’s stake in its renewable energy business. He has hired Standard Chartered, a global provider of banking and financial services, to help with this process. The action is intended to raise roughly $400 million, which will help his Aditya Birla group strengthen its position in India’s quickly expanding clean energy sector.
India’s renewable energy sector has been growing at a rapid pace in recent years, with the government setting ambitious targets for renewable energy production to reduce the country’s dependence on fossil fuels. The Aditya Birla Group has a significant presence in this sector, with interests in wind, solar, and hydroelectric power projects. By raising funds through the sale of a minority stake, the group can leverage additional capital to further expand and diversify its renewable energy portfolio.
Kumar Birla Renewables is targeting to achieve an installed capacity of 4.5GW in renewable energy through commercial and industrial (C&I) projects and utility by FY2026.
Standard Chartered’s involvement in the deal suggests that there is significant investor interest in India’s clean energy sector. The bank has a strong track record of facilitating investments in the sector, having advised on several high-profile transactions in the past. The sale of the Aditya Birla Group’s stake in its renewable energy business is expected to attract interest from both domestic and international investors.
Overall, this move represents an important step for Kumar Birla as he seeks to consolidate his company’s position in India’s rapidly evolving clean energy sector. With Standard Chartered’s assistance, the group is well-positioned to raise the necessary funds to support its ambitious growth plans.
No responses yet