MIAMI BEACH, Fla. & GURGAON, India–(BUSINESS WIRE)–ReNew Energy Personal Restricted, (“ReNew Energy” or the “Firm”) India’s main renewable power supplier, right now introduced that it has accomplished its beforehand introduced enterprise mixture with RMG Acquisition Company II (“RMG II”).
The transaction was unanimously authorised by RMG II’s Board of Administrators and was authorised on the extraordinary common assembly of RMG II’s shareholders held on August 16, 2021 (the “Extraordinary Normal Assembly”). Roughly 88% of the votes solid on the enterprise mixture proposal on the Extraordinary Normal Assembly have been in favor of approving the enterprise mixture. RMG II’s shareholders additionally voted to approve all different proposals offered on the Extraordinary Normal Assembly.
On account of the enterprise mixture, RMG II has change into a completely owned subsidiary of “ReNew Power International plc” (the post-combination entity referred to within the the rest of this launch as “ReNew”). Commencing on the open of buying and selling on August 24, 2021, ReNew’s Class A extraordinary shares and ReNew’s warrants are anticipated to begin buying and selling on The Nasdaq Inventory Market LLC (“Nasdaq”) beneath the symbols “RNW” and “RNWWW,” respectively.
ReNew Energy – India’s Main Pure-Play Renewable Power Firm
Based in 2011, ReNew Energy is India’s main renewable power unbiased energy producer (IPP), and among the many 10th largest renewable IPPs globally by capability, with a portfolio of greater than 100 operational utility-scale wind and photo voltaic power initiatives unfold throughout 9 Indian states. The Firm additionally owns and operates distributed photo voltaic power initiatives for greater than 150 business and industrial clients throughout India.
ReNew Energy was the primary Indian renewable power firm to cross commissioned capability milestones of 1 gigawatt (GW) and a pair of GW, and is presently the one firm within the Indian renewable power sector with over 5 GW of operational capability. The Firm at the moment has an mixture capability of near 10 GW (together with capability already received in aggressive bids).
ReNew Energy’s progress has been aided by steady money flows, secured by way of long-term contracts with well-regarded counterparties. At present, ReNew Energy’s whole utility-scale dedicated capability is contracted beneath energy buy agreements (PPAs) with a mean length of greater than 24 years. A bulk of those contracts are with central authorities businesses, such because the Photo voltaic Power Company of India (SECI) and NTPC Restricted. Over the past 10 years, ReNew Energy has additionally cast a strong and effectively diversified community of suppliers, enabling adoption of the perfect applied sciences, at optimum value, throughout its initiatives portfolio.
Past technology of fresh energy, ReNew Energy has additionally developed experience in ancillary areas equivalent to power storage. In 2020, ReNew Energy received two distinctive tenders floated by SECI to make sure agency, dependable, and reasonably priced provides of inexperienced energy. This included India’s first tender for round the clock energy provide from renewables, and a young for a renewable power mission to deal with peak energy demand by combining wind-solar hybrid technology with battery storage.
Throughout 2020, ReNew Energy additionally entered into the rising digital companies enterprise, with the acquisition of Local weather Join, a Pune, India-based firm, and a number one participant in AI-enabled grid administration and cargo forecasting.
Market Overview – Renewable Power Demand in India Poised to Develop
ReNew Energy’s enterprise mannequin is bolstered by latest traits within the Indian energy technology market, in addition to the Indian authorities’s inexperienced power targets over the subsequent decade. India’s per capita electrical energy consumption is poised for fast progress within the subsequent decade, with roughly two-thirds of this incremental demand being met by energy from renewable sources. India’s international local weather commitments concerning discount of carbon emissions will dictate a transformational change within the energy technology combine – away from fossil fuels, in favor of renewables. On the similar time, the Indian authorities’s bold goal of 450 GW of put in renewables capability by 2030, a 5x enhance over present ranges, signifies big market potential. A gradual discount in prices of technology, pushed by technological advances and well-attended auctions will additional speed up renewables adoption.
As India’s power transition gathers tempo, ReNew Energy’s at-scale, geographically-diversified, multi-technology strategy, backed by disciplined mission execution and superior monetary self-discipline will assist the Firm maintain its excessive progress trajectory.
Administration Commentary
“The completion of our enterprise mixture with RMG II begins a brand new period for our firm, and is a superb step ahead for enabling additional decarbonization of the Indian energy sector,” mentioned Sumant Sinha, CEO of ReNew. “The complete ReNew workforce has remained laser-focused on sustaining our management place in Indian renewable power all through this course of, and we are going to proceed to work to develop clear energy technology throughout India. We have now the flexibility to do much more in bringing reasonably priced, dependable, inexperienced, utility-scale energy provide to extra individuals and companies in India by way of implementation of our proprietary software program and AI-enabled monitoring capabilities. We’re excited to proceed our work creating wind and solar energy throughout India.”
“We have now been proud to accomplice with the ReNew workforce all through this course of, and stay up for persevering with our relationship as we transfer into the subsequent section of progress for ReNew after the shut of our transaction,” mentioned Robert Mancini, Chief Government Officer and Director of RMG II. “ReNew is now well-positioned to keep up and develop its management place as the biggest renewable energy technology firm in India, and lead decarbonization efforts in one of many world’s largest and most dynamic economies. With a powerful steadiness sheet, bolstered by over $870 million of money from the transaction, ReNew affords traders a singular approach to play the continued and accelerating clear electrification development seen throughout the worldwide financial system. I stay up for working with Sumant and the entire ReNew workforce to carry their imaginative and prescient to actuality.”
Transaction Overview
On account of this transaction ReNew has acquired $610 million in web proceeds, consisting of funds from RMG II’s former belief account and from a non-public placement in public fairness (PIPE), after redemptions and transaction charges. The PIPE is anchored by institutional traders together with funds and accounts managed by BlackRock, BNP Paribas Power Transition Fund, Mr. Chamath Palihapitiya, Sylebra Capital, TT Worldwide Asset Administration Ltd, TT Environmental Options Fund and Zimmer Companions. ReNew will use the proceeds to speed up its progress, fund operations and repay debt.
ReNew’s senior administration workforce will proceed to guide the mixed firm, together with Sumant Sinha (Chief Government Officer), D Muthukumaran (Chief Monetary Officer), Balram Mehta (Chief Working Officer), Sanjay Varghese (President and Head of Photo voltaic), Kailash Vaswani (Deputy CFO and President, Company Finance), and Mayank Bansal (Chief Business Officer).
ReNew’s Board of Administrators will likely be comprised of ten (10) members, six (6) of whom are “unbiased administrators” as outlined within the NASDAQ itemizing requirements and relevant U.S. Securities and Alternate Fee (“SEC”) guidelines. The Board of Administrators will likely be led by Chairman, Mr. Sumant Sinha and also will embrace Robert Mancini, CEO of RMG II.
Advisors
Goldman Sachs (India) Securities Personal Restricted and Morgan Stanley India Firm Personal Restricted (“Morgan Stanley”) served as monetary advisors to ReNew in reference to the enterprise mixture. Morgan Stanley & Co. LLC acted as joint placement agent to RMG II on the PIPE. Latham & Watkins LLP, Nishith Desai & Associates and Cyril Amarchand Mangladas served as authorized advisors to ReNew.
BofA Securities served as unique monetary advisor to RMG II, and in addition acted as lead placement agent on the PIPE. Skadden, Arps, Slate, Meagher & Flom LLP served as authorized advisor to RMG II. Khaitan & Co LLP served as authorized advisor to RMG II on Indian authorized features.
Ropes & Grey LLP served as counsel to the location brokers on the PIPE.
About ReNew Energy
ReNew Energy is India’s main renewable power unbiased energy producer (IPP) by capability and is the tenth largest international renewable IPP by operational capability. ReNew Energy develops, builds, owns, and operates utility-scale wind power initiatives, utility-scale photo voltaic power initiatives, utility-scale agency energy initiatives and distributed photo voltaic power initiatives. As of March thirty first, 2021, ReNew Energy had a complete capability of roughly 10 GW of wind and photo voltaic power initiatives throughout India, together with commissioned and dedicated initiatives. ReNew Energy has a powerful monitor document of natural and inorganic progress. ReNew Energy’s present group of shareholders include a number of marquee traders, together with GS Wyvern (a part of Goldman Sachs Asset Administration), CPP Investments, Abu Dhabi Funding Authority, GEF SACEF and JERA.
For extra info, please go to: www.renewpower.in; Observe ReNew Energy on Twitter @ReNew_Power
About RMG Acquisition Company II
RMG Acquisition Company II (NASDAQ: RMGB) is a clean test firm fashioned for the aim of effecting a merger, amalgamation, share change, asset acquisition, share buy, reorganization or different comparable enterprise mixture with a number of companies. RMG II raised $345 million in its December 14, 2020 IPO, which was upsized as a result of robust demand and included the underwriters’ full over-allotment possibility. RMG II is sponsored and led by the administration workforce of Jim Carpenter, Bob Mancini, and Phil Kassin, who collectively have over 100 years of mixed principal funding, operational, transactional, and CEO and public firm board degree management expertise. www.rmgacquisition.com/
Ahead Trying Statements
This press launch contains “forward-looking statements” throughout the which means of US federal securities legal guidelines with respect to the proposed enterprise mixture between RMG II, ReNew and ReNew Energy, together with statements concerning the anticipated date on which ReNew’s shares and warrants will begin buying and selling, the companies supplied by ReNew Energy and the markets through which it operates, and ReNew Energy’s projected future outcomes. These forward-looking statements usually are recognized by the phrases “consider,” “mission,” “count on,” “anticipate,” “estimate,” “intend,” “technique,” “future,” “alternative,” “plan,” “could,” “ought to,” “will,” “would,” “will likely be,” “will proceed,” “will probably outcome,” and comparable expressions. Ahead-looking statements are predictions, projections and different statements about future occasions which might be primarily based on present expectations and assumptions and, because of this, are topic to dangers and uncertainties. Many components may trigger precise future occasions to vary materially from the forward-looking statements on this press launch, together with however not restricted to: (i) the incidence of any occasion, change or different circumstance that might give rise to the termination of the enterprise mixture settlement and plan of merger, (ii) the impact of the announcement or pendency of the transaction on ReNew Energy’s enterprise relationships, efficiency, and enterprise usually, (iii) dangers that the proposed transaction disrupts present plans of ReNew Energy or diverts administration’s consideration from ReNew Energy’s ongoing enterprise operations and potential difficulties in ReNew Energy worker retention because of the proposed transaction, (iv) the end result of any authorized proceedings that could be instituted in opposition to ReNew, ReNew Energy, RMG II or their respective administrators or officers associated to the enterprise mixture settlement and plan of merger or the proposed transaction, (v) the quantity of the prices, charges, bills and different costs associated to the proposed transaction, (vi) the flexibility to keep up the itemizing of ReNew’s securities on The Nasdaq Inventory Market LLC, (vii) the value of ReNew’s securities could also be risky as a result of a wide range of components, together with modifications within the aggressive and extremely regulated industries through which ReNew Energy plans to function, variations in efficiency throughout opponents, modifications in legal guidelines and laws affecting ReNew Energy’s enterprise and modifications within the mixed capital construction, (viii) the flexibility to implement enterprise plans, forecasts, and different expectations after the completion of the proposed transaction, and establish and notice extra alternatives, together with the conversion of pre-orders into binding orders, (ix) the flexibility of ReNew to challenge fairness or equity-linked securities in reference to the transaction or sooner or later, (x) the chance of downturns within the renewable power trade and (xv) the impression of the worldwide COVID-19 pandemic on any of the foregoing. The foregoing checklist of things isn’t exhaustive. It’s best to fastidiously contemplate the foregoing components and the opposite dangers and uncertainties described within the “Danger Components” part of ReNew’s registration assertion on Kind F-4, the proxy assertion/consent solicitation assertion/prospectus mentioned under, RMG II’s modification no. 2 to its Annual Report on Kind 10-Okay/A and different paperwork filed by ReNew or RMG II once in a while with the SEC. These filings establish and deal with different essential dangers and uncertainties that might trigger precise occasions and outcomes to vary materially from these contained within the forward-looking statements.
Ahead-looking statements communicate solely as of the date they’re made. Readers are cautioned to not put undue reliance on forward-looking statements, and ReNew, ReNew Energy and RMG II assume no obligation and don’t intend to replace or revise these forward-looking statements, whether or not because of new info, future occasions, or in any other case. Neither ReNew, nor ReNew Energy nor RMG II offers any assurance that both ReNew, ReNew Energy or RMG II will obtain its expectations. The inclusion of any assertion on this communication doesn’t represent an admission by ReNew, ReNew Energy or RMG II or every other individual that the occasions or circumstances described in such assertion are materials.
