Renewable power producer Azure Power Global Ltd announced that it has executed a Module Supply Agreement with Premier Energies Group, a domestic manufacturer of solar PV cells and modules, for supply of modules up to 600 MW per year for next four years.
Equity investment too
Azure also entered into an agreement to invest Rs.100 crore in the Premier Group, of which an investment of Rs.45.50 crore has been made for the subscription of equity shares & compulsorily convertible debentures issued by Premier Energies Investment Pvt Ltd, towards subscription of 26 per cent shareholding in PEIPL, Azure said.
The balance of Rs.54.50 crore will be made in the form of subscription to optionally convertible debentures issued by Premier Energy Ltd. PEIPL is setting up a 1 GW cell and module manufacturing facility in India as part of its expansion plans.
Long-term supply visibility
Speaking on this occasion, Alan Rosling, Chairman, Azure Power said, “Having a long-term supply visibility is an important factor towards de-risking our business. Premier is operating one of the most advanced state-of-the-art solar cell and module line in the country, and we are pleased to partner with Premier. This partnership is a prudent step towards securing long term sustainable value for our stakeholders and towards actualization of India’s vision of Atmanirbhar Bharat.”
Also read: Azure Power Fully Commissions “Rajasthan 8” Solar Project
Strategic partnership
On this announcement, Surender Pal Singh, Chairman, Premier Energies, said, “We, at Premier are honored to partner with Azure Power in the solar manufacturing space in India. Premier has a legacy of over 27 years in solar manufacturing and this partnership further strengthens Premier’s leadership position in India.”
Chiranjeev Saluja, Managing Director, Premier Energies said, “This is the first-of-its-kind strategic partnership between an independent power producer and a solar manufacturing company in India. This marks a major milestone in Government of India’s goal of Make in India.”
Featured photograph shows a manufacturing facility of Premier Energies.
