ReNew Energy Offered $2.82 Billion Privatization Deal by Major Investors

In a strategic move, significant stakeholders in ReNew Energy Global, including the Canada Pension Plan Investment Board, UAE’s Masdar, and a unit of the Abu Dhabi Investment Authority, have proposed to take the company private through acquiring shares at $7.07 each. This valuation, which values the company at $2.82 billion, was filed with the U.S. Securities and Exchange Commission and offers an 11.5% premium on its last closing price. Notably, ReNew is the second-largest renewable energy facilitator in India after Adani Green and operates significant solar, wind, hydro, and hybrid projects. The delisting from NASDAQ, as pointed out by CreditSights, may reduce compliance costs and attract new funding pathways from the UAE and the Middle East while considering liquidation challenges. The proposal may also denote an exit point for Japan's top utility JERA. Goldman Sachs, as one of the company's early backers, previously disbursed its stakes post-the public offering in 2021. The deal, if it proceeds, reflects the transformational trend in India’s renewable landscape, aligned to reduce regulatory burdens and leverage international financial inputs for expansive growth.