Oil giant Shell to buy Indian renewables developer Sprng Energy

Oil giant Shell has signed a deal to buy Indian renewable energy developer Sprng Energy from infrastructure investor Actis.

It has agreed to pay $1.55 billion for the developer, which supplies output from wind and solar power to electricity distribution companies in India.

Sprng has 2.9GW of operating and contracted renewable energy projects, including just under 500MW of wind capacity, according to its website.

It has a further 7.5GW of renewable energy projects in its pipeline.

The transaction is due to close later this year. Sprng Energy will retain its existing brand and operate as a wholly owned subsidiary of Shell.

“This deal positions Shell as one of the first movers in building a truly integrated energy transition business in India,” said Wael Sawan, director of Shell’s integrated gas, renewables and energy solutions business unit.

The solar and wind assets Shell acquires through the deal will triple the oil giant’s present renewable capacity in operation, it stated.

Shell does not currently have any renewables assets in India.