Canada’s OMERS Infrastructure has signed a stock purchase agreement to acquire an approximately 19.4% stake in Azure Power Global Limited from International Finance Corporation and IFC GIF Investment Company for a total consideration of approximately $219 million, the company said in a statement.
Founded in 2008, Azure Power is an independent renewable power producer located in India with an asset base of 2 GW of operational capacity and 5 GW of capacity under construction or awarded.
“This agreement to invest in Azure Power demonstrates OMERS strong global interest in high quality renewable power and energy transition assets as well as our interest in India as an investment destination and Asia-Pacific more broadly,” Annesley Wallace, executive vice-president and global head, OMERS Infrastructure, said.
“This transaction directly supports our mission of building a strong portfolio of well-run assets that will help pay pensions to our members over the long term,” she added.
“Azure Power’s vision is to provide affordable, clean energy in an efficient, sustainable and socially-responsible manner. OMERS is proud to be working with the management and our fellow investors to help Azure Power achieve its goals,” Prateek Maheshwari, managing director, Asia, OMERS Infrastructure, said.
“The closing of this transaction would mark our second direct infrastructure investment in India, following our 2019 investment in the IndInfravit toll road platform. In support of our goal of prudently diversifying OMERS investments across global markets, we will continue to explore additional promising opportunities in India and throughout Asia-Pacific,” he added.
OMERS Infrastructure’s global renewable energy holdings include Leeward Renewable Energy, a growth-oriented renewable energy company that owns and operates a portfolio of 22 renewable energy facilities across nine US states, totalling more than 2 GW of installed capacity.