Suzlon buys majority stake in Renom to strengthen renewable energy services | Company News
Suzlon Group on Tuesday said it has acquired a 51 per cent stake in Renom Energy Services Private Limited for Rs 400 crore to strengthen its operation and maintenance (O&M) services in the wind energy sector, according to a company press release.
Renom, founded in 2015 by the Sanjay Ghodawat Group, is the country’s largest multi-brand operations and maintenance service provider. Following the acquisition, Renom will continue to operate separately as a board-managed independent service provider (ISP).
The acquisition is set to be executed in two tranches. The first tranche involves the initial 51 per cent stake, followed by the second, with a 25 per cent stake to be acquired within 18 months for Rs 260 crore. This move allows Suzlon to target potential O&M opportunities for over 32 gigawatts (GW) of non-Suzlon wind energy assets in India.
Renom currently manages 1,782 megawatts (MW) in wind, 148 MW in solar, and 572 MW in balance of plant energy (BOP) under maintenance.
With Suzlon’s in-house service business focused on its own turbines and Renom’s expertise in maintaining non-Suzlon renewable energy assets, the company is now comprehensively positioned across India’s renewable energy operations and maintenance sector, said JP Chalasani, Chief Executive Officer, Suzlon Group, in the statement.
“The acquisition provides synergies in terms of a crossover of projects, talent, locations, and systems and processes, creating an opportunity to leverage the Suzlon brand and legacy of over 29 years to build Renom further as a market leader,” said Himanshu Mody, Chief Financial Officer, Suzlon Group.
First Published: Aug 06 2024 | 9:49 PM IST
