Inox Green Energy Services will divest 100 per cent stake in Nani Virani Wind Energy Private Ltd, a regulatory filing said on Monday.
Nani Virani is a 50 megawatt operational wind farm in Gujarat.
"Inox Green Energy Services (IGESL) has signed a term sheet for divestment of 100 per cent stake in Nani Virani Wind Energy Private Limited SPV," IGESL's parent firm Inox Wind Limited (IWL) said in the filing.
The transaction will be complete post customary regulatory and banking approvals, including that of board and shareholders.
"This transaction has significant beneficial impact on both Inox Wind and IGESL. While IGESL achieves its target to become net debt-free, Inox Wind’s balance sheet will deleverage substantially, reinforcing the company’s financial strength. We remain focused and committed on strengthening Inox Wind’s performance on all fronts and improve our profitability as we proceed on our exciting journey ahead," Kailash Tarachandani, CEO of Inox Wind said.
IWL is India's leading wind energy solutions provider servicing independent power producers, utilities, public sector units and corporate investors.