RP-Sanjiv Goenka Group (RPSG) announced on Monday that its flagship utility CESC Ltd. will acquire six solar power projects with combined capacity of 1.4 GWp from ReNew Solar for ₹4,859 crore. According to the latest disclosure made to exchanges under Regulation 30 of SEBI's listing norms, the transaction values the portfolio at an Enterprise Value of ₹4,859 crore (approximately $509 million at an exchange rate of ₹95.5/$). The acquisition stands as one of the largest deals for operating solar assets in the Indian power sector, transforming Purvah Green Power from a development-focused platform into a scaled operator backed by existing cash-generating assets. The disclosure was made with the stock trading under the CESC symbol on NSE and scrip code 500084 on BSE, and the deal does not fall within related party transactions with no governmental or regulatory approval required.
The acquisition includes six companies with significant renewable energy capacity: ReNew Hans Urja Pvt. Ltd. (810 MW), ReNew Solar Photovoltaic Pvt. Ltd. (506.25 MW), ReNew Wind Energy (Karnataka 3) (24.55 MW), ReNew Wind Energy (MP Four) (24.60 MW), ReNew Wind Energy (Karnataka 4) (22.90 MW), and ReNew Agni Power Private (23.18 MW). As reported by CNBC TV18 and Business Standard, over 90% of the acquired operating capacity is tied up under 25-year long-term Power Purchase Agreements (PPAs) with the Solar Energy Corporation of India (SECI), with the remaining capacity contracted with distribution companies in Karnataka. The acquired assets are operating projects with an established generation track record, providing immediate revenue generation capabilities. The target companies together carry an installed capacity of 1,411.48 MW, or about 1.4 GWp, spread across Rajasthan and Karnataka, with these entities becoming step-down subsidiaries of CESC upon completion. The transaction is structured as an arm's length transaction and does not require any governmental or regulatory approvals, facilitating a streamlined completion process targeted for before October 31, 2026.
The deal structure includes multiple components with specific payment terms. As reported by CNBC TV18, ₹1,582 crore is payable at closing, which includes ₹94 crore of net current assets and excludes contingent payments. Additionally, ₹589 crore is paid to the seller for share capital, and ₹993 crore is infused as unsecured promoter debt to be utilized toward repaying existing promoter debt. According to The Times of India, ₹590 crore comprises equity and the remaining ₹993 crore is debt funding. The transaction has been funded by the parent company and the deal requires no governmental or regulatory approvals. The enterprise value of ₹4,859 crore excludes a contingent payment of an estimated ₹230 crore that is payable only on the realisation of a change in law claim. The consideration is subject to post-closing adjustments as set out in the agreement. The cost of acquisition for each target entity is outlined below: ReNew Hans Urja Private Limited (₹137.9 crore), ReNew Solar Photovoltaic Private Limited (₹118.4 crore), ReNew Wind Energy (Karnataka 3) Private Limited (₹79.2 crore), ReNew Wind Energy (MP Four) Private Limited (₹71.1 crore), ReNew Wind Energy (Karnataka 4) Private Limited (₹86.7 crore), and ReNew Agni Power Private Limited (₹95.5 crore).
The acquisition significantly expands Purvah Green Power's contracted capacity portfolio. According to reports from CNBC TV18 and Business Standard, prior to this transaction, Purvah Green Power maintained a contracted capacity of approximately 3.4 GWp. Following completion, total contracted capacity rises to 4.8 GWp, with 1.8 GWp operational and 3 GWp tied-up at various stages of construction. Additionally, 2.2 GWh battery capacity is also tied-up and under implementation. The acquisition substantially increases the proportion of the portfolio that is already generating revenue and strengthening recurring cash flows well ahead of the commissioning schedule for the under-construction pipeline. The acquired projects have an established generation track record, with more than 90% of the capacity contracted with the Solar Energy Corporation of India under long-term power purchase agreements and the balance with Karnataka distribution companies, all on tenures of over 25 years. The transaction significantly alters the composition of Purvah's portfolio by adding 1.4 GWp of operational assets, increasing the proportion of the portfolio generating immediate revenue substantially.
For CESC, the deal deepens its renewable footprint well beyond its core distribution business, which serves about 4.4 million consumers across West Bengal, Greater Noida, parts of Rajasthan, Maharashtra and Chandigarh. The company reported consolidated FY26 revenue of ₹18,570 crore, EBITDA of ₹4,707 crore and net profit of ₹1,618 crore. Shashwat Goenka, Vice Chairman of RP-Sanjiv Goenka Group (RPSG), stated that the acquisition marks a significant acceleration of the group's renewable energy journey by providing immediate operating scale. As reported by The Times of India, Goenka noted that the quality and long-term visibility of these assets make them a compelling opportunity, aligning with the group's belief in combining disciplined greenfield development with selective acquisitions. The transaction supports RPSG's ambition to build a 10 GW renewable energy platform in the coming years, with Goenka indicating the group expects to invest around ₹65,000 crore over the next couple of years to achieve this target. The strategic logic focuses on shifting Purvah's portfolio mix from projects under development towards assets that are already generating revenue and contracted cash flows.
