The United Arab Emirates-based Abu Dhabi National Energy Co. (Taqa) has reportedly pulled out of a deal to buy two hydropower plants from India’s Jaiprakash Power Ventures Ltd.
Newswires have reported that the firm pulled out of the acquisition as a result of a change in business strategy and priorities.
The acquisition was announced back in March, with a consortium led by Taqa expected to acquire the Baspa Stage II and Karcham Wangtoo plants in the Indian state of Himachal Pradesh from Jaiprakash Power, a subsidiary of Indian infrastructure conglomerate Jaypee Group.
With a 51% stake in the consortium, Taqa would have had control of operations and management of both facilities under the proposed deal. The remaining equity would have been held by one of Canada’s largest institutional investors (39%) and IDFC Alternatives’ India Infrastructure Fund II (10%).
The run-of-river plants are located in the Kinnaur district and have a combined capacity of 1391MW.
There has been no news yet on whether another buyer will be sought for the plants.
