Fortum sells stake in 185 MW Indian solar portfolio

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Fortum has signed an agreement to sell the remaining 43.75% share of its Indian solar power portfolio to Gentari Renewables India, a subsidiary of clean energy solutions provider Gentari Sdn. Bhd.

The portfolio comprises four solar power plants in India with a total capacity of 185 MW. The assets sold include 75 MW in Rajasthan (5 MW in Bhilwara and 70 MW in Bhadla), 10 MW in Madhya Pradesh, and 100 MW Pavagada plant in Karnataka.

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

In 2018–19, Fortum sold 56.25% of the company.

Fortum stated it 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 approximately EUR 30 million.

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