Hero, Macquarie, CLP interested in PTC India wind power sale

The Indian arm of CLP Holdings Ltd, Macquarie Infrastructure and Real Assets (MIRA) and Hero Future Energies are amongst the companies that are attracted in obtaining PTC India Ltd’s wind power business that may be valued at approximately Rs. 2,000 crore, officials conscious of the development alleged.

KPMG has been employed to handle the sale of PTC Energy’s 290 MW of wind power assets across Madhya Pradesh, Karnataka, and Andhra Pradesh. There has been substantial interest in the asset, given its size.

The Indian renewable energy space is observing increasing consolidation, in the midst of falling tariffs and the capital intensive nature of the business, predominantly in the preliminary stage, making availability of low-cost funds significant for the success of a project.

Wind power tariffs plunged to Rs.2.43 per kilowatt-hour (kWh) at an auction conducted by state-run Gujarat Urja Vikas Nigam Ltd in December, 2017.

“KPMG is recommending PTC for finding a appropriate strategic investor for partaking in its subsidiary PTC Energy Ltd’s business. At this point of time, we will not be able to comment beyond this,” a PTC India spokesperson supposed.

CLP India Pvt. Ltd’s interest in PTC’s wind assets pursues Canada’s second largest pension fund CDPQ buying a 40% stake in it for HK$2.9 billion (about $370 million). With 1,000MW, CLP India, the local arm of the Hong Kong-listed company, has one of the largest wind power portfolios in the country. It also has an installed capacity of 2,000MW from coal, gas, and solar projects.