Inox Wind’s arm Inox Green to divest 100% stake in Nani Virani SPV

Inox Wind’s subsidiary, Inox Green Energy Services (IGESL) has signed a term sheet for divestment of 100% stake in Nani Virani Wind Energy Private Limited SPV.

The SPV, which is a 50 MW operational wind farm located in Gujarat, was commissioned in May’23.

As per the filing, the divestment is part of the strategic decision taken by the company to become net debt-free, further enabling IGESL to become an asset-light annuity O&M business. Consequently, this will also aid in paring debt on IGESL’s parent company Inox Wind’s consolidated balance sheet, the company said.

The transaction will consummate post customary regulatory and banking approvals, including Board and shareholders’ approvals.

Kailash Tarachandani, CEO of Inox Wind, remarked ‘This transaction has significant beneficial impact on both Inox Wind and IGESL. While IGESL achieves its target to become net debt-free, Inox Wind’s balance sheet will deleverage substantially, reinforcing the company’s financial strength. 

We remain focused and committed on strengthening Inox Wind’s performance on all fronts and improve our profitability as we proceed on our exciting journey ahead.’