Tata Power Renewable to secure $525mn from BlackRock, Mubadala-led consortium

Tata Power Renewable to secure $525mn from BlackRock, Mubadala-led consortium

The Indian electric utility company, Tata Power and the US-based BlackRock Real Assets-led consortium, including UAE’s Mubadala Investment Company, have entered into a binding agreement to invest in Tata Power’s renewable energy subsidiary, Tata Power Renewables.

BlackRock Real Assets, together with Mubadala, will invest $525 million in the form of equity or compulsorily convertible instruments for a 10.53 percent interest, valuing the company at $4.46 billion. The final shareholding will range from 9.76 percent to 11.43 percent on final conversion.

This newly created platform will consist of five distinct businesses delivering long-term, customer-orientated solutions. It will house all renewable energy businesses of Tata Power including, Utility-Scale Solar, Wind & Hybrid Generation assets, Solar Cell & Module Manufacturing, Engineering, Procurement and Construction (EPC) contracting, Rooftop Solar infrastructure, Solar Pumps and Electric Vehicle Charging infrastructure.

The broad-based portfolio of assets ensures diversified yet stable revenue sources including 25-year fixed-price PPAs for grid-connected utility-scale projects. Tata Power Renewables is one of the largest renewable energy companies in India. Its vertically integrated operations currently have approximately 4.9GW of renewable energy assets.

Khaled Abdulla Al Qubaisi

CEO

Mubadala Real Estate & Infrastructure Investments “As a responsible investor, Mubadala is focused on renewable energy in multiple markets, so we are delighted to