**Blackstone and Serentica Compete for Statkraft’s Solar Assets in India**
Global private equity firm Blackstone and Gurugram-based Serentica Renewables are vying to acquire the solar assets of Norwegian energy company Statkraft in India. Meanwhile, Adani Group and JSW Group are also in the running to purchase Statkraft’s hydropower plants, according to sources familiar with the situation. Serentica, which is supported by private equity firm KKR, has also submitted bids for Statkraft’s wind assets in the country.
Statkraft’s solar assets in India are estimated to be valued between ₹1,700-1,800 crore, while its hydropower assets are projected to be worth ₹1,400-1,500 crore. “Binding bids have been submitted, and the seller will move forward with one buyer for each category of assets,” one source noted. EY Norway is advising Statkraft on this sale.
Statkraft India boasts a renewable energy portfolio of approximately 1 GW, which includes both solar and hydropower assets. This portfolio features a 76 MW operational solar power plant and an additional 75 MW solar capacity under development in Tamil Nadu. A 445 MW solar project in Rajasthan is nearing completion.
In terms of hydropower, Statkraft holds a 49% stake in two operational plants in Himachal Pradesh: Allain Duhangan (192 MW) and Malana (86 MW). Additionally, a 150 MW hydropower plant is currently under construction in Tidong, Himachal Pradesh. The joint venture nature of the hydropower assets with the LNJ Bhilwara group adds complexity to the acquisition process for potential buyers.
A spokesperson for Blackstone declined to comment on the matter. In an email response, a representative from Serentica stated, “We continuously explore opportunities for acquisitions and partnerships. We were among the selected bidders for the Statkraft portfolio in April, after which we conducted our due diligence. We have submitted our binding offers for Statkraft’s wind and solar assets.” Statkraft, EY, Adani Group, and JSW Group did not respond to requests for comment.
The decision by Statkraft to divest its Indian assets follows a decline in overall revenue and increasing debt levels. The company aims to refocus its efforts on high-potential markets in the Nordics, Europe, and South America to achieve its growth objectives. Statkraft is recognized as the largest renewable energy producer in Europe, with an installed capacity of 19.4 GW, including 12.1 GW from hydropower in Norway.
Statkraft entered the Indian power market in 2004 through its subsidiary SN Power, acquiring a 49% stake in Malana Power Co. Ltd. It was the first foreign investor in India’s hydropower sector. Recently, Fitch downgraded Statkraft’s credit rating to BBB+ from A- due to weak performance and financial metrics. The company is expected to reduce its leverage from 3.5x in 2024, supported by a significant divestment program and cost-saving measures, despite lower power prices.
**FAQ**
**What is the current status of Statkraft’s assets in India?**
Statkraft is in the process of selling its solar and hydropower assets in India, with several bidders, including Blackstone and Serentica, competing for these assets. The company aims to focus on more promising markets following a decline in revenue and rising debt.
