Ending years of speculations about its listing at stock markets, one of India’s leading renewable energy companies — ReNew Power — has announced plans for listing at Nasdaq.
According to a press release, ReNew Power will merge with RMG Acquisition Corporation II which is already listed at Nasdaq. ReNew Power has signed an agreement with the company and hopes to complete the transaction by June.
The combined company will be called ReNew Energy Global PLC and will trade at Nasdaq with ticker symbol RNW. The total enterprise value of the new entity is expected to be $8 billion. Proceeds from this transaction are expected to be around $1.8 billion and will be used to retire debt and fund new projects.
Apart from solar and wind power development, the company is looking to expand into solar cell and module manufacturing, lithium-ion battery production and power distribution business. It recently secured approval to set up solar cell and module and lithium-ion battery manufacturing facilities in the state of Gujarat. It also participated in auctions for distribution business across multiple regions in India.
Since its incorporation in 2011, ReNew Power has seen a meteoric rise in India’s renewable energy market. It has an existing portfolio of 10 gigawatts across solar and wind power technologies and plans to double this capacity in the next five years. It has also attracted investments from the likes of Goldman Sachs, Canada Pension Plan Investment Board, Abu Dhabi Investment Authority, and JERA Co.
In 2016, the company had filed papers for listing at Indian bourses with a goal to raise around $150 million. These plans remained in limbo for a long time, and with the planned listing at Nasdaq, have now been scrapped. However, CEO Sumant Sinha has not ruled out a concurrent listing of the company on India bourses in the future.