Abu Dhabi Future Energy Company, known as Masdar, has withdrawn from the consortium that was trying to acquire India-based ReNew Energy Global, bringing an end to months of discussions around taking the company private. The decision was confirmed through a filing made with US regulatory authorities, formally closing the proposed buyout process for the Nasdaq-listed renewable energy company.
The consortium included Platinum Hawk, a unit of the Abu Dhabi Investment Authority, Canada Pension Plan Investment Board, and ReNew Energy’s founder, chairman, and chief executive officer, Sumant Sinha. To evaluate the proposal, ReNew had set up a special committee of its board. The committee was supported by Rothschild & Co as an independent financial adviser, while legal advice was provided by Linklaters. Despite these efforts, the talks did not result in a final agreement.
Masdar’s exit comes after nearly a year of negotiations. During this period, the offer price for ReNew’s shares was revised upward. Initially set at $7.07 per share, the cash offer was later increased to $8.15 per share. This revised price was announced in mid-October, raising expectations among investors that the deal could move forward. However, the withdrawal has now ended all discussions related to the proposed transaction.
The market reacted strongly to the news. ReNew Energy’s share price fell by almost 28 percent in trading, dropping to around $5.26. This marked the company’s lowest share price in the past twelve months. The sharp decline reflected investor disappointment, the proposed buyout value was well above the prevailing market price before the announcement.
In its statement, ReNew Energy said it was disappointed by Masdar’s decision to withdraw, which automatically terminated all ongoing discussions linked to the buyout. The company did not provide further details on why Masdar chose to step away, and Masdar also did not offer specific reasons. This has led to speculation about differences in strategy or alignment between the parties, though no official explanation has been shared.
ReNew Energy Global is currently India’s second-largest renewable energy producer, after Adani Green Energy. The company has an installed capacity of 10.3 gigawatts, spread across solar, wind, hydro, and hybrid power projects. Most of its operations are located within India.
Data from LSEG shows that Canada Pension Plan Investment Board holds a 31.3 percent stake in ReNew Energy, while Abu Dhabi Investment Authority owns 23.8 percent. Both were key members of the consortium. As of now, no alternative plans or fresh attempts to revive the buyout have been announced.
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