Inox Green Energy Services (IGESL) has recently revealed its plan to divest its entire 100% stake in Nani Virani Wind Energy Private Ltd, a well-established 50-megawatt operational wind farm situated in Gujarat. This strategic move aims to optimize the financial health and performance of both Inox Green Energy Services and its parent company, Inox Wind Limited (IWL).
The announcement was made via a regulatory filing by Inox Wind Limited, highlighting the signing of a term sheet for the divestment of IGESL’s stake in Nani Virani Wind Energy Private Limited SPV.
Kailash Tarachandani, CEO of Inox Wind, expressed his thoughts on the transaction, stating, “This transaction has significant beneficial impact on both Inox Wind and IGESL. While IGESL achieves its target to become net debt-free, Inox Wind’s balance sheet will deleverage substantially, reinforcing the company’s financial strength. We remain focused and committed to strengthening Inox Wind’s performance on all fronts and improving our profitability as we proceed on our exciting journey ahead.”
The completion of this transaction is subject to customary regulatory and banking approvals, including approvals from the board and shareholders. Once these approvals are obtained, the divestment will move forward.
This strategic move comes on the heels of Inox Wind’s announcement on August 17, where it disclosed that its promoter and promoter group entities had infused ₹500 crore into the company to repay debt. The funds were raised through the equity share sale of Inox Wind by its promoters and promoter group entities via block deals on the stock exchanges.
Kailash Tarachandani, CEO of Inox Wind, emphasized the significance of this capital infusion, stating that it substantially reinforces the company’s financial strength and provides enhanced flexibility for future growth initiatives.
Inox Wind Limited, a subsidiary of the INOXGFL Group, which has a legacy spanning over nine decades, plays a pivotal role in India’s renewable energy sector. The INOXGFL Group, with a presence in diverse business verticals, including chemicals and renewable energy, is committed to sustainable and environmentally responsible solutions.
As Inox Green Energy Services embarks on the journey to divest its stake in Nani Virani Wind Energy Private Ltd, it signifies a strategic step towards streamlining the operations and enhancing the financial resilience of both IGESL and Inox Wind Limited in the renewable energy landscape.
