Latest news with #HexaClimateSolutions
Yahoo
02-05-2025
- Business
- Yahoo
Hexa Climate Solutions acquires Fortum's Indian renewables portfolio
Indian renewable energy company Hexa Climate Solutions has announced the acquisition of Finnish electric services company Fortum's Indian renewables portfolio with plans to invest $500m to expand its clean energy projects, as reported by Reuters. The acquisition includes a 100% stake in Fortum India, including a 206MW commercial and industrial (C&I) renewables portfolio, a 600MW ready-to-build renewable projects pipeline and a 40-member team. Sanjeev Aggarwal, founder and executive chairman of Hexa, stated to Reuters that the company will make a total investment of $500m in India and other developing countries. The investment will be supported by I Squared Capital, which holds a majority share in Hexa. Hexa is set to invest $100m to complete Fortum's solar and wind projects in India. An additional $400m will be allocated to grow its clean energy portfolio from the current 100MW to 2.5GW up to 2027. The company anticipates that 65% of the portfolio will consist of solar assets, with the remainder in wind assets. This strategic move aligns with India's goal to almost triple its non-fossil power capacity to at least 500GW by 2030. The sale signifies Fortum's exit from the Indian market, following the divestment of 185MW of solar assets in 2024, as the company shifts focus to its operations in Finland. In March 2025, Fortum completed a two-year feasibility study on new nuclear power in Finland and Sweden, determining that it is not commercially viable on a merchant basis only under existing Nordic power market conditions. Hexa Climate offers renewable energy and net-zero solutions across key markets in India, Taiwan, Philippines, Japan, South Korea and Malaysia. "Hexa Climate Solutions acquires Fortum's Indian renewables portfolio" was originally created and published by Power Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Mint
30-04-2025
- Business
- Mint
Hexa Climate Solutions acquires Fortum's green energy portfolio in India
Hexa Climate Solutions Pvt. Ltd, a I Squared Capital portfolio company, has acquired the renewable energy development portfolio of Finland-based Fortum in India. Under the terms of the transaction, Hexa Climate Solutions has acquired a 100% stake in Fortum India Pvt. Ltd (FIPL), including its 40-member team, its 206MW commercial and industrial (C&I) renewable energy portfolio and approximately 600MW of ready-to-build renewable projects. Hexa Climate Solutions, backed by I Squared Capital, plans to invest approximately $500 million to scale its renewable energy, water, and carbon platforms in India and other emerging markets, said a statement from Hexa. It said that the transaction is in line with Fortum's strategy announced in 2024, when the company divested its ownership in the 185MW Indian solar portfolio to limit its exposure in the country and evaluate alternatives for an exit from the Indian market. Fortum's core operations and main geographical focus are in the Nordics. 'The acquisition of Fortum India marks a significant step in Hexa Climate Solutions' mission to accelerate the clean energy transition across emerging markets. With this acquisition, Hexa Climate reinforces its strong 2.5 GW development pipeline and strengthens its position as a leading climate-focused platform,' said Sanjeev Aggarwal, founder and executive chairman, Hexa Climate Solutions. Noting that India has been an important part of Fortum's international journey, Peter Strannegård, executive vice president, renewables and decarbonisation at Fortum, said: "We are pleased that the Fortum India team and platform have found a new home with Hexa Climate Solutions, a committed renewable energy player." On 25 April, Mint reported that Finland's state-run energy utility Fortum Oyj is exiting India's renewable energy market by selling its platform FIPL to New York-based I Squared Capital-backed Hexa Climate Solutions. There were five bidders in the sales process run by EY, including Japan's Marubeni Corp., Dutch pension fund APG, and infrastructure fund manager AP Moller Capital. A total of 10 companies including steel and mining major ArcelorMittal had signed non-disclosure agreements (NDA) for the transaction termed as project Samsara. First Published: 30 Apr 2025, 09:09 PM IST
Time of India
30-04-2025
- Business
- Time of India
Hexa Climate Solutions to acquire Fortum's renewable energy portfolio in India
Mumbai: Hexa Climate Solutions , a portfolio company of I Squared Capital, on Wednesday said it has acquired renewable energy development portfolio from Fortum, a leading Nordic energy company. According to the official press release, under the terms of the transaction, Hexa Climate Solutions has acquired a 100 per cent stake in Fortum India, including its 40-member team, its 206 MW commercial and industrial renewable energy portfolio and approximately 600 MW of ready-to-build renewable projects. It added that the transaction is in line with Fortum's strategy and announcement in 2024 when the company divested the ownership in the 185-MW Indian solar portfolio to limit its exposure in India and evaluate alternatives for an exit from the Indian market. 'We are delighted to welcome the talented Fortum India team to Hexa. Together, we are committed to developing high-quality renewable energy and carbon offset solutions for the future. With this acquisition, Hexa Climate reinforces its strong 2.5 GW development pipeline and strengthens its position as a leading climate-focused platform ,' said Sanjeev Aggarwal, founder and executive chairman, Hexa Climate Solutions. Peter Strannegård, Executive Vice President, Renewables and Decarbonisation at Fortum Corporation said that India has been an important part of Fortum's international journey, and we are pleased that the Fortum India team and platform have found a new home with Hexa Climate Solutions, a committed renewable energy player. Hexa Climate Solutions, backed by I Squared Capital, plans to invest approximately $500 million to scale its renewable energy, water, and carbon platforms in India and other emerging markets.
Mint
27-04-2025
- Business
- Mint
Fortum exits India renewables market with sale to I Squared's Hexa Climate
NEW DELHI : Finland's state-run energy utility Fortum Oyj is exiting India's renewable energy market by selling its platform Fortum India Pvt Ltd (FIPL) to New York-based I Squared Capital-backed Hexa Climate Solutions, in a deal that includes management company and carbon credits, two people aware of the development said. There were five bidders in the sales process run by EY, including Japan' Marubeni Corp, Dutch pension fund APG, and infrastructure fund manager AP Moller Capital. A total of 10 companies including steel and mining major ArcelorMittal had signed non-disclosure agreements (NDA) for the transaction termed as project Samsara. Mint couldn't ascertain the value of the deal that marks an important point in the third-largest Nordic utility Fortum' exit from India, a market that it entered in 2012. While the initial proposed deal was for diluting the majority stake in Fortum India Pvt Ltd, the management company, and investing around $300 million to build future projects, Hexa Climate Solutions has acquired 100% stake, along with its 40-member team. FIPL's portfolio includes a 206 mega watt (MW) commercial and industrial (C&I) solar-wind hybrid, and another 600 MW of ready to build projects. 'Hexa Climate Solutions has acquired Fortum India Pvt Ltd. An announcement will be made in the coming week," said the first of the two people cited earlier, both of whom spoke on the condition of anonymity. In line with its Nordic strategy, Fortum had earlier announced limiting its exposure in India and evaluating alternatives for its remaining operations, with Fortum India selling projects totaling 1.1 gigawatt (GW). Hexa Climate Solutions founder and executive chairman Sanjeev Aggarwal, Fortum India president Sanjay Aggarwal and EY declined to comment. A Fortum Corporation spokesperson in an emailed response said, 'As a stock listed company, we do not comment (on) any market rumours or speculations. In May 2024, when divesting the ownership in the 185-MW Indian solar portfolio, Fortum announced that in line with its Nordic strategy, Fortum is limiting its exposure in India and evaluating alternatives for the remaining operations and will not make any further commitments in India. There is no certainty whether the evaluation will result in any transactions and Fortum will inform the market, if and when appropriate." I Squared Capital on its part plans to invest around $500 million in Hexa Climate Solutions that has a focus on renewable energy, water and carbon offsets and has a 2.5 GW development pipeline. Queries emailed to the spokespersons of Marubeni Corp, APG, AP Moller Capital and ArcelorMittal on Saturday night weren't immediately answered till press time. Fortum's India exit comes in the backdrop of the war in Ukraine resulting in gas supply disruption and substantive losses to Fortum's majority-owned energy company Uniper, which was subsequently sold to the German government at a loss of around six billion Euros. In addition, the Russian Federation confiscated Fortum's Russian plants valued at around five billion Euros. These prompted Fortum to rewrite its playbook and pivot to the Nordic market by paring down its stakes in other geographies, including India. As part of Fortum Oyj's exit strategy from the Indian market, London-based Opus Corporate Finance Llp is also running a transaction termed Butterfly for diluting a majority stake in Fortum's electric vehicle charging network GLIDA, formerly known as Fortum Charge & Drive India that has around 850 charging points, as reported by Mint earlier. Fortum India has sold 700 MW to Actis Llp, another 230 MW to UK Climate Investments and Elite Alfred Berg; and 185 MW to Malaysia's state-run oil and gas company Petroliam Nasional Bhd or Petronas' unit Gentari. This present transaction comes in the backdrop of AM Green, set up by the founders of Greenko Group, Mahesh Kolli and Anil Kumar Chalamalasetty, acquiring Fortum Oyj and Chempolis Oy's 50% stake in their joint venture---Assam Bio Refinery Private Limited---and also the Oulu-headquartered biotechnology firm Chempolis Oy in which Fortum has a stake, as reported by Mint earlier. India's C&I segment has been attracting strong investor interest, with a number of deals in the works given the regulatory landscape being supportive of the space with rules allowing large power users to source energy from the open market rather than the costlier grid. C&I projects are also shielded from risks such as power procurement curtailment by state-run power distribution firms. Also, state electricity regulatory commissions' implementation of Time of Day (ToD) tariff for large C&I category consumers has helped sustain investor interest.
