France’s Total has announced the acquisition of a 20% minority stake in Adani Green Energy Limited (AGEL).
It marks the strategic alliance between Adani Group and Total, which covers investments in liquefied natural gas (LNG) terminals, gas utility business and renewable assets across India.
The companies have agreed the acquisition of a 50% stake in a 2.35GW portfolio of operating solar assets owned by AGEL and a 20% interest in AGEL for an investment of $2.5 billion (£1.84bn).
Total will also have a seat on the board of directors of the company.
The partnership with AGEL in the renewables industry in India will support Total’s objective of reaching 35GW of gross production capacity from renewable sources by 2025 and adding 10GW per year following that.
Patrick Pouyanné, Chairman and Chief Executive Officer of Total said: “This agreement is an important step in our alliance with the Adani Group in India and our common vision and goals with respect to the importance of access to low carbon energy in India.
“Our entry into AGEL is a major milestone in our strategy in the renewable energy business in India put in place by both parties. Given the size of the market, India is the right place to put into action our energy transition strategy based on two pillars: renewables and natural gas.”
In 2018, Total and Adani formed a partnership with an investment in Adani Gas Limited, city gas distribution business, associated LNG terminal business and gas marketing business.
