Fourth Partner Energy acquires 8.9 MW solar portfolio from Statkraft
The acquisition is in line with the Hyderabad-based corporate solar developer’s plan to ramp up. For Norwegian developer Statkraft, the selloff is part of its strategic plan to exit the distributed solar segment in India and focus on developing large-scale projects.
Fourth Partner Energy manages a portfolio of 550 MW across its distributed and open access solar portfolios. Statkraft India solar assets are its first acquisition this fiscal as part of its capacity expansion plans, post securing $125 million funding from Norfund and TPG’s The Rise Fund earlier this month.
The company is now strengthening its onsite and offsite solar presence in the subcontinent and key markets across South and Southeast Asia with a 3 GW installed solar capacity target by 2025.
Aditya Gupta, Head – Asset Acquisition, Fourth Partner Energy, said, “Acquiring good quality assets backed by strong off-takers is a key focus area for the company as we cement our leadership position and this portfolio of Statkraft is a natural fit.”
The distributed solar market is ripe for consolidation, with assets switching hands at a rapid pace, especially in the pandemic era, said Gupta, adding that Fourth Partner Energy is looking to acquire around 100 MW this fiscal.
“At Fourth Partner Energy, we thoroughly scrutinize build quality, historical generation, and bankability of solar plants before adding them to our asset base. Our team is well armored in terms of financing and capabilities to onboard larger portfolios and is looking to add close to a 100 MW of installed capacity this fiscal via the acquisition route,” Gupta added.
For Statkraft, the decision to exit the distributed solar power business is part of its changed solar strategy for India. The company shall now focus on developing large-scale projects.
“Statkraft is happy to announce the sale of 100% interest and ownership in Statkraft Solar to Fourth Partner Energy. We are confident that Fourth Partner Energy will carry forward the excellent customer service standards displayed by Statkraft India over the years. Statkraft will continue to look for more investment opportunities in the clean energy space to make a positive contribution to India’s power sector,” added Rahul Varshney, Country Manager – India, Statkraft.