JSW Energy's Strategic Acquisition

In a significant move towards bolstering its green energy portfolio, JSW Energy, led by Sajjan Jindal, has announced an all-cash deal to acquire the green energy business of O2 Power. This acquisition, valued at Rs 12,468 crore (approximately $1.4 billion), marks JSW's largest to date and is a key part of its strategy to achieve a 20 gigawatts (GW) generation capacity by April 2030.

Details of the Deal

The transaction is expected to be completed by May 26, pending statutory approvals. It will be executed through JSW Energy's subsidiary, JSW Neo Energy, which will acquire 100% interest in O2 Power Midco Holdings Pte and O2 Energy SG Pte. O2 Power, founded in November 2019 by former ReNew Power executives, boasts a 4.7 GW portfolio of operational and under-construction renewable energy projects across seven states.

Future Investments and Expectations

JSW Energy anticipates making further capital expenditures of Rs 13,000-14,000 crore in O2 Power over the next few years, with a blended average tariff of Rs 3.37 per unit. This acquisition not only enhances JSW's renewable energy footprint but also aligns with global trends towards sustainable and green energy solutions.