Biocon to buy 26% stake in AMPYR Renewable Energy Resources Eleven

Biocon Ltd on Wednesday said it will acquire 26 per cent stake in AMPYR Renewable Energy Resources Eleven Pvt Ltd (AREREPL) for Rs 7.5 crore.

AREREPL was incorporated on April 13, 2021. It is a special purpose vehicle formed for generation and supply of solar power. It will develop a 30 MWac solar power plant at Benkanhal village in Karnataka, Biocon said in a regulatory filing.

The company has entered into an agreement for the purpose of "acquisition of solar power by acquiring equity stake up to 26 per cent in AREREPL", it said.

The cost of acquisition of up to 26 per cent stake on a fully diluted basis in one or more tranches will be Rs 7.5 crore.

To enhance the renewable-based power consumption, Biocon will acquire and maintain 26 per cent stake in AREREPL throughout the term of the power purchase agreement to maintain captive status as per Electricity Act, share purchase/subscription agreement and shareholders agreement, it added.