Biocon Ltd announced on Wednesday that it will acquire a 26% stake in AMPYR Renewable Energy Resources Eleven Pvt Ltd (AREREPL) for Rs 7.5 crore.
AREREPL was incorporated on April 13, 2021. It is a special purpose vehicle formed for the production and supply of solar energy. It will develop a 30 MWac solar power plant in the village of Benkanhal in Karnataka, Biocon said in a regulatory filing.
The company has reached an agreement with the aim “to acquire solar energy by taking a stake of up to 26% in AREREPL”, he said.
The cost of acquiring a stake of up to 26% on a fully diluted basis in one or more tranches will be Rs 7.5 crore.
To improve renewable energy consumption, Biocon will acquire and retain a 26% stake in AREREPL for the duration of the power purchase agreement to maintain its captive status under the Electricity Act, to the share purchase/subscription agreement and the shareholders’ agreement, he added.
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