New Delhi, Dec. 10 -- Global Infrastructure Partners (GIP), an infrastructure investment unit of the world's largest asset manager BlackRock, has committed to invest in Aditya Birla Renewables (AB Ren), a subsidiary of Grasim Industries, the company said on Tuesday.
GIP will invest up to Rs 3,000 crore ($333 million) in AB Ren. Of this, Rs 2,000 crore will be infused in multiple tranches through preferential issues on a private placement basis. The remaining Rs 1,000 crore will be available as a greenshoe option in the future through equity, pro rata to GIP's shareholding in AB Ren, according to the statement.
The transaction values AB Ren at an enterprise value of Rs 14,600 crore and marks one of the largest primary commitments for a minority stake in a renewables platform in India.
AB Ren has built a diversified, pan-India renewable energy portfolio of around 4.3 GW across 10 states, spanning solar, hybrid, and floating solar projects, driven by strong organic growth.
Separately, Essel Mining & Industries, also part of the Aditya Birla Group, will invest Rs 500 crore in FY26 to meet urgent capital requirements, according to another filing.
AB Ren is among the leading platforms in the captive and commercial & industrial (C&I) power segment. Corporates such as Grasim, Hindalco, UltraTech, Century Enka partner with the company to develop and operate captive renewable power projects.
Grasim, the Aditya Birla Group's flagship company, manufactures man-made fibres and houses key businesses, including UltraTech Cement and the group's decorative paints venture Birla Opus.
Birla Opus has emerged as India's third-largest decorative paints brand based on the FY25 exit run rate within six months of commencing pan-India operations, as per Grasim's annual report.
BlackRock acquired GIP in 2024. GIP owns and operates assets across energy, transport, digital infrastructure, and water and waste management sectors, and manages over $189 billion in assets.
At noon on Wednesday, shares of Grasim Industries were trading 0.2% higher at Rs 2,752.
Published by HT Digital Content Services with permission from VC Circle.