RNESL acquires REC Solar Holdings for $771 million

Reliance New Energy Solar Ltd (RNESL), a wholly-owned subsidiary of Reliance Industries Ltd (RIL), announced on Sunday that it has acquired 100% shareholding of REC Solar Holdings AS (REC Group) from China National Bluestar (Group) Co Ltd., for an Enterprise Value of $771 million.

RNESL will use REC's advanced technologies and patents to construct a 4 gigawatt (GW) manufacturing facility in Jamnagar, Gujarat as part of its 'giga factories'. The plant will eventually be scaled up to 10 GW.

The purchase by RNESL follows the June announcement by RIL that it would pump in $10.1 billion in clean energy over three years to become net carbon zero by 2035.

"It (the deal) is in line with our strategy of investing in new and advanced technologies and operating capabilities aimed at achieving Reliance's goal of enabling 100 GW clean and green energy before the end of this decade," Mukesh Ambani, Chairman, RIL said in a statement.

He also indicated RIL's intent to continue making more acquisitions in the renewable sector.