MUMBAI Aug 28 The founders of Indian auto
components maker Bharat Forge are in talks with
private equity firms to sell a $300 million stake in their wind
energy firm, Kenersys, two sources familiar with the matter
The transaction would dilute part of the controlling stake
of the Kalyani group in the alternative energy firm and also
enable First Reserve Corp, a U.S.-based energy-focused private
equity firm, to make a partial exit from an investment it made
in Kenersys in 2008, the sources said.
"We are aiming to raise capital by end of this financial
year," said one company source.
Kenersys is an integrated wind energy company that designs,
assembles and markets wind turbine generators.
The group CFO of Bharat Forge, Kishore Saletore, told
Reuters in an e-mail that the company would not comment on
First Reserve was not immediately available for comment.
While investment in India's core power generation and
distribution space has slowed due to delays in project approvals
and a lack of access to fuel, global energy funds have been
investing in India's alternative energy sector.
Recently, an infrastructure fund managed by Morgan Stanley
bought a stake in Indian wind energy firm Continuum
Energy for about $250 million.
The private equity arm of Goldman Sachs in December
invested about $200 million in another Indian alternative energy
firm, ReNew Wind Power.
India, with 206,456 megawatts of installed power capacity at
the end of July, suffers from a peak-hour power shortfall of
about 10 percent.
Asia's third largest economy aims to add 88,000 MW of
generation capacity based on fossil fuels and hydro during
2012-17, and another 29,800 MW capacity based on renewable
energy sources during the same period.