First public deal between oil giant and Indian conglomerate since a short-seller leveled fraud allegations against the latter
Mumbai, NFAPost: Adani Green Energy has announced a new joint venture with France’s Total Energies to house a 1,050 megawatt (MW) green portfolio. Total will invest $300 million in the deal, said Adani Green.
It is the first deal announcement between the two companies since a report by Hindenburg Research, a US short-seller, on Adani Group in January.
Adani Green told exchanges the company’s board has approved the execution of a binding term sheet to be entered into between itself, Adani Green Energy Twenty Three Limited (AGE23L) and TotalEnergies.
Total Energies will invest $300 million to form a new 50:50 joint venture company that will house a 1,050 MW portfolio. The portfolio will comprise a mix of already operational (300 MW), under-construction (500 MW) and under-development assets (250 MW) with a blend of both, solar and wind power, said Adani Green.
Adani Green’s total project portfolio stands at 20,434 MW.
In its press statement, Adani Green said, “Adani Green will contribute to the JV the assets and TotalEnergies an equity investment of $ 300 million which will further support their development.”
Total Energies, through its affiliate entities, holds a 19.75% stock in Adani Green Energy.
“After our first joint-venture AGEL23 in 2020 and our acquisition of shares in Adani Green in 2021, this new joint venture with Adani Green will enable us to speed up our development through direct access to a large portfolio of assets and to support the ambition of Adani Green in becoming the Indian leader of renewable energy,” said Patrick Pouyanné, chairman and chief executive officer for Total Energies.
The French oil major holds a 50% stake in the joint venture and the rest is with Adani Green.
