Telecom operator Bharti Airtel said on Friday it would acquire a stake in solar power firm AMPSolar Evolution Private Limited for around Rs 17 crore.
Founded in 2016, AMPSolar is a global developer of flexible clean energy infrastructure. The 3-year-old startup is based in Canada, with operations in North America, Japan, India and Australia.
The Sunil Bharti Mittal-led firm has signed an agreement with the renewable energy company to meet the green energy needs and optimise energy costs, as well as to comply with the regulatory requirement around consumption of electricity.
“…the Company has entered into an agreement of October 18, 2019 for acquisition of equity shares and compulsory convertible debentures (CCDs) in AMPSolar Evolution Private Limited,” Bharti Airtel said in a regulatory filing.
AMPSolar Evolution is a wholly-owned subsidiary of AMPSolar Technology Private Limited and a special purpose vehicle for the purpose of setting up captive solar power projects in Uttar Pradesh.
Airtel will subscribe to 84,000 equity shares, equivalent to 26 per cent stake in the company, for Rs 10 each amounting to Rs 8.4 crore and 83,160 CCDs of Rs 1,000 each amounting to Rs 8.31 crore.
Notably, AMPSolar has just closed $200 million (Canadian dollars) funding led by Colorado-based ZOMA Capital in order to continue the development, acquisition and build out of clean energy infrastructure assets in its core markets.
The turnover of AMPSolar Evolution was nil as on March 31, 2019, according to the filing.
~ Via PTI Inputs