New Delhi: Energy giant BP has sold its Indian wind energy assets to Green Infra, managed by IDFC’s private equity arm, for $37 million in cash as it seeks to concentrate on its US wind business.
The total value of the deal including debt assumed by power producer Green Infra is $95 million, BP said in a statement.
The wind energy assets have capacity of 100 megawatts.
BP said it has decided to focus on its wind business in the United States, where its wind energy portfolio contains almost 100 projects with a total potential generating capacity of up to 20,000 MW.
Raja Parthasarathy, managing director of IDFC PE, said the deal was funded with a mix of debt and equity. Debt financing was provided by IDFC and Axis Bank.
Green Infra owns and operates a 24 MW wind farm in the southern state of Tamil Nadu that was commissioned in June 2009. The company has an additional 300 MW of projects in the pipeline.
About 60% of the assets being acquired by Green Infra are located in the southern state of Karnataka, while the rest are in the western state of Maharashtra.
Separately, the energy arm of US conglomerate General Electric said it was setting up a wind-turbine-generator plant in south India that would start production in 2010.
India is the fifth-largest market globally for wind power in terms of installed capacity, GE said. The United States has the world’s largest share of wind power capacity.