Sembcorp Green Infra Limited has signed an agreement to acquire a 100 per cent stake in Vector Green Energy Private Limited (Vector Green) for ₹2,780 crore (approximately S$474 million).

Vector Green is an independent power producer with renewable power generation assets spread across 13 States and is owned by India Infrastructure Fund II, a fund managed by Global Infrastructure Partners India Pvt Ltd.

The portfolio includes 495 MW of solar capacity and 24 MW of wind capacity in operation, with 64 MW of solar projects under development. Including Vector Green, Sembcorp’s gross renewables portfolio installed and under development in India will total 3 GW, comprising 1 GW of solar assets and 2 GW of wind assets.

Wong Kim Yin, Group President & CEO, Sembcorp Industries, said: “Sembcorp remains committed to growing its renewables portfolio in India, one of the fastest-growing renewables markets in the world. This acquisition is aligned with the group’s “brown to green” transformation strategy. With the completion of this acquisition, Sembcorp’s gross renewable energy capacity will increase to 8.5GW, pushing us closer to our 2025 target of 10 GW.”

Vipul Tuli, CEO of South Asia at Sembcorp Industries, added: “This acquisition brings significant utility-scale solar capacity to our India business, which will complement our existing wind portfolio. It also broadens and deepens our renewable energy capabilities and presence across states in India and positions us well for further green growth in the country.”

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The acquisition will be funded through internal cash resources and external borrowings. Completion of the acquisition is subject to customary closing conditions and is expected by the first quarter of 2023.

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