Firm Matters

Khaitan & Co advised Sumitomo Corporation in relation to acquisition of 49% equity shareholding in Clean Solar Power (Baniyana) Pvt Ltd (the “Target Company”), a subsidiary of HSEPL, which forms part of Hero Future Energies, the renewable energy business arm of the Hero Group (“Proposed Transaction”). Following completion of the proposed investment, Hero Solar Energy Pvt Ltd (“HSEPL”) will retain the remaining 51% equity shareholding in the Target Company.

The Project, located in the state of Karnataka, will combine solar and wind generation capacity. Combining solar and wind power, which have different generation profiles, with battery storage will help offset fluctuations caused by weather conditions and the time of day, enabling a continuous supply of electricity. Electricity generated by the Project will be sold primarily to SJVN Limited, with some surplus electricity to be sold on the power exchange market.

Clean Solar Power (Baniyana) Pvt Ltd is a subsidiary of Hero Solar Energy Pvt Ltd (“HSEPL”) which is in turn a subsidiary of Hero Future Energies the renewable energy business arm of the Hero Group India (“Hero Group”). The Target Company is engaged in the development of a hybrid renewable energy project situated in Bidar District, Karnataka comprising an aggregate solar and wind power generation capacity of approximately 500 MWp together with a co-located battery energy storage system having an energy storage capacity of 200 MWh (the “Project”).

The Firm was involved in the following: (i) negotiating, drafting, and reviewing transaction documents; (ii) conducting legal due diligence on the Target Company and the Project; and (iii) assisting with the execution of transaction documents.