JSW Neo Energy, a subsidiary of JSW Energy, has signed an agreement to acquire a 4,696 MW renewable energy business from O2 Power Pooling, for Rs 12,468 crore or $1.47 billion.
O2 Power Pooling is a joint venture of EQT Infrastructure and Temasek. The acquisition involves O2 Power Midco Holdings and O2 Energy SG.
Sharad Mahendra, joint MD and CEO of JSW Energy, highlighted the strategic importance of the acquisition, noting it strengthens the company’s position in India’s energy sector.
O2 Power has a capacity of 4,696 MW, with 2,259 MW set to be operational by June 2025, 1,463 MW under construction, and 974 MW in the pipeline for commissioning by June 2027. With an average tariff of Rs 3.37/KWh and a remaining life of 23 years, the platform spans seven resource-rich Indian states and will boost JSW Energy’s generation capacity by 23 percent, increasing it from 20,012 MW to 24,708 MW.
The assets are spread across seven resource-rich states in India and have a tariff of Rs 3.37 per kilowatt hour (KWh). The facilities have an average remaining life of 23 years, which adds long-term value to JSW Energy’s portfolio.
This acquisition increases JSW Energy’s locked-in generation capacity by 23 percent to 24,708 MW, bringing the company closer to its target of reaching 25 GW capacity by FY27/28.
Following the announcement, JSW Energy shares were trading at Rs 663.3, up 6 percent compared to the previous session’s closing price of Rs 629.85 on the National Stock Exchange (NSE). The company’s market capitalisation now stands at Rs 1.09 lakh crore.