Fortum sells its 185-MW Indian solar portfolio

The Finnish majority state-owned energy company Fortum has signed an agreement to sell the remaining 43.75% share of its Indian solar power portfolio to Gentari Renewables India Pte. Ltd, said Fortum in a press release on Friday.

The portfolio comprises four solar power plants in India with the total capacity of 185 MW: Amrit (5 MW), Kapeli (10 MW), Bhadla (70 MW) and Pavagada (100 MW).

In the transaction, the other owners – UK Climate Investments Lakeside Limited (40%) and a fund managed by Evli Fund Management Ltd (16.25%) – are also selling their ownership.

In 2018–2019, Fortum sold 56.25% of the company.

Fortum will record some profits from the divestment in connection with the closing of the transaction, expected to take place in the second quarter of 2024.

In 2012, Fortum entered the Indian market and its businesses have mainly included development of renewables.

After the announced divestment, Fortum still has EV charging services and a renewables development portfolio with projects at different stages in India.

In line with its Nordic strategy, Fortum is limiting its exposure in India and evaluating alternatives for these remaining operations and will not make any further commitments in India.

The remaining net assets including guarantees amount to about EUR 30 million.