Adani Green Energy Limited (AGEL) has announced that in furtherance to a press release issued by the company on February 6, 2020, the Board of Directors has at its meeting held on March 21, 2020, approved the draft of a joint venture (JV) agreement to be entered into with Total Solar Singapore PTE Limited (Total) and Adani Green Energy Twenty Three Limited.

As per the JV agreement the JV company, which is presently a wholly-owned subsidiary of the AGEL, is proposed to house 2,148 MWac of operating solar power projects, presently being owned by the company. The form further stated that the JVA would record the terms and conditions for:

• Regulating the operation and management of the JV company
• Governing the relationship between Adani and Total
• Certain rights and obligation of Adani and Total concerning the JV company

The company has also reported that it does not hold any shareholding in Total. And that the JV company is a wholly-owned subsidiary of AGEL and accordingly, it holds 100 percent of the paid-up equity share capital of the JV Company. Total does not hold any shareholding in the company.

Pursuant to the JVA, Total and AGEL are proposed to hold such number of securities in the JV company as will entitle them to exercise joint ownership and control of JV Company.

In February, it was reported that the Adani Group had entered into a binding agreement to sell half of its stake in its solar energy assets for about USD 510 million to Total Gas & Power Business Services SAS (Total). As per the deal, Total will acquire 50 percent stake and other instruments in a Joint Venture Company (JV) having more than 2 GW (2,148 MWac) of operating solar projects owned by Adani Green Energy.

Gautam Adani, Chairman of Adani Group, expressed happiness and had said “we are delighted to extend our long term partnership with Total to our renewable energy business in AGEL. The investment reinforces the immense potential in India’s renewable energy sector, as well as Adani group commitment towards sustainable development. This is a pivotal step in our journey towards building the world’s largest solar power company by 2025 and the world’s largest renewable power company by 2030.”