Grapevine: Adani, others bid for solar tender; IDBI Bank to complete stake sale in JV
Photo Credit: Reuters

The Adani Group has bid for the entire 6.4 gigawatt (GW) capacity aimed at powering the farms of Andhra Pradesh as part of India’s largest solar tender, a Mint report said citing two people aware of the development.

The other bidders are Andhra Pradesh-based Sri Sai for 5.8 GW, NTPC Ltd (1.8 GW), Torrent Power Ltd (300 megawatt) and HES-SSISPL (600 MW), the people said.

“Bids for a total of 14.9 GW have been submitted in response to 6.4 GW on offer,” one of the two people added. Bidders had until Tuesday to submit their offers.

India’s solar tariffs have fallen to a record low of Rs 1.99 per unit. The rates are expected to decline further due to lower cost of financing and investors being flush with capital.

NTPC and Torrent Power were among firms that bid the lowest solar tariff of Rs 1.99 per unit in Gujarat. These new tariffs have been legally challenged by the developers.

In another development, IDBI Bank is expected to complete its 23% stake sale in IDBI Federal Life Insurance Co to Belgium’s Ageas Insurance International by Thursday, The Economic Times said.

This will help Ageas raise its stake in the insurance joint venture to 49% from 26%. IDBI Bank is also looking to sell another 4% in the JV to local partner Federal Bank upon the banking regulator’s clearance.

The 27% stake sale would provide IDBI Bank with Rs 595 crore (about $80 million). The lender, which is still under the Reserve Bank of India’s prompt corrective action framework and is owned by Life Insurance Corporation of India, has just raised Rs 1,435 crore through a qualified institutional placement.

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