Welspun India secures renewable power supply under CleanMax deal

Indian textile company Welspun India Ltd (BOM:514162) has acquired a 26% interest in a unit of domestic renewable energy company CleanMax in a move that will enable it to procure green power under a captive model.

The textile group has paid INR 3.8 billion (USD 45.9m/EUR 43m) in cash for the stake in CleanMax Thanos Pvt Ltd (CTPL), it said in a bourse filing on Thursday. The remaining 74% of the entity will continue to be owned by the CleanMax Group.

Renewable power for Welspun India will come from a project that CTPL is developing in the state of Gujarat, under the state’s hybrid policy. Supplies from the plant are due to begin by the end of March. Welspun India will use the electricity for its factory in Vapi, Valsad district.

The acquisition is aligned with Welspun India’s social, and governance (ESG) strategy. The company noted that no governmental and regulatory approvals were required for the investment.

CleanMax operates rooftop and ground-mounted solar plants, wind farms and hybrid wind and solar sites. It currently has 1 GW of assets in operation.

(INR 10 = USD 0.121/EUR 0.113)

Choose your newsletter by Renewables Now. Join for free!