Inox Neo Energies acquires Skypower to improve renewable portfolio

INOXGFL Group has completed the acquisition of Skypower Solar India Private Limited, a 50 MW (AC) / 57.5 MW (DC) solar power asset in Madhya Pradesh. The acquisition is valued at approximately ₹265 crores, with a trailing EV/EBITDA multiple of 5.3x. 

INOXGFL Group announced Inox Clean Energy Limited’s renewable independent power producer (RE IPP) arm Inox Neo Energies Private Limited has completed the acquisition of Skypower Solar India Private Limited which has a portfolio comprising 50 MW (AC) / 57.5 MW (DC) of solar power assets located in Madhya Pradesh. The transaction values the asset at an enterprise value of ₹265 crores translating into a trailing EV/EBITDA multiple of 5.3x.

The 50 MW (AC) / 57.5 MW (DC) solar project commissioned in FY18 is located in Khandwa district of Madhya Pradesh. The power generated is tied up under a 25-year PPA with Madhya Pradesh Power Management Company Ltd. (MPPMCL). Bharat Saxena, CEO of Inox Clean Energy Ltd said, “At Inox Clean, we are substantially scaling up our IPP capacity under Inox Neo both organically and inorganically. The acquisition of Skypower, a 50 MW solar power asset, aligns well with our inorganic growth strategy. This asset has strong operational and financial credentials and is value-accretive from day one. Importantly, the acquisition is well within the Group’s valuation framework, and we continue to be on the lookout for such opportunities which will aid our plans of reaching 3 GW of hybrid installed capacity in the next 2-3 years.”