SHV Energy, a Dutch family-owned multinational and global LPG distributor, is expected to invest nearly Rs 1,800 crore in the next two years to ramp up solar energy generation capacity of SunSource Energy to 550-Mw from the present 65-Mw. The precise value of the deal is not known.
SunSource Energy is a solar solutions provider for commercial and industrial customers in India and South-East Asia.
SHV Energy chief executive officer Bram Graber said the company is looking forward to long-term cooperation with SunSource Energy and is committed to funding its solar projects that are in pipeline.
“India is a key market for SHV Energy and this investment underpins our long-term commitment to the region and advancement of renewable energy solutions,” Graber said adding his company would not be looking at more solar acquisitions in India.
Industry insiders said SHV Energy was engaged in negotiations with solar firm Fourth Partner Energy.
“This new partnership will directly benefit our company’s ability to expand its portfolio of projects for commercial and industrial customers,” he said. SHV Energy operates in India since 1996 through its industrial LPG brand ‘SUPERGAS’.
SunSource Energy’s original investor NEEV, promoted by India’s largest commercial lender SBI and the UK Government, has exited the company through the deal. The company’s co-founders Kushagra Nandan and Adarsh Das will continue to run the company and remain shareholders.
Das said the investment will enable SunSource Energy to leverage SHV Energy’s global presence and expertise to emerge as a leading global distributed solar company.
“We are happy to have a like-minded strategic long-term investor on board who believes in our model of sustainable development and decentralised energy solutions,” he said.
Nandan said SunSource Energy will be able to draw strength from SHV Energy’s global experience in energy markets, tested processes and business practices. “We look forward to contributing further towards India’s clean energy goals, and offer more products that continue to solve energy transition challenges faced by commercial and industrial customers,” he said.
Founded in 2010, SunSource focussed on design and engineering, procurement, and construction of solar projects. It expanded in 2018 to invest in commercial and industrial solar projects to sell energy to its customers. SunSource also develops and invests in off-site commercial and industrial projects known as open access solar projects.