Grasim Industries, Cleanmax Form JV to Setup 32.4 MW Wind Project in K’taka

Textile major Grasim Industries has signed an agreement with Cleanmax Enviro Energy Solutions Pvt Ltd to set up a joint venture (JV) company Clean Max Power 3 LLP (LLP).

The two entities have formed the JV to establish, operate and maintain 32.4 MW of wind power plant in Karnataka, wherein the power generated will be supplied exclusively to Grasim under the captive rules. However, the Project will be operated by Cleanmax Enviro.

The company said in a statement that, “it has executed a LLP agreement with Cleanmax Enviro Energy Solutions Private Limited (Generator Partner) and Power Purchase Agreement with CleanMax Power 3 LLP (Power Producer).”

As per the deal, Cleanmax has the right to operate the LLP and the said Project, Grasim has rights over reserved matters. Also, the two partners will have voting rights proportionate to their partnership interest in the LLP.

Further, the newly formed entity has 26 per cent shareholding of Grasim Industries, while 74 per cent stake of Cleanmax. It is similar in the ratio of initial capital investment by Grasim and Cleanmax i.e. Rs 26,000 and Rs 74,000 respectively.

Moreover, the total capital of the LLP will be Rs 73.42 crore which will be contributed by Grasim Rs 19.09 crore i.e. 26 per cent and Cleanmax Rs 54.33 crore i.e. 74 per cent in phases.

Meanwhile, scrips of the Grasim ended at Rs 636.70 apiece, up 0.39 per cent, from the previous close on the exchange on Friday.