Bharti Airtel is one of the largest telecommunication service providers in South Asian countries. The company is based out of New Delhi, India and operates in 18 countries expanding from South-Asia to Africa and even some parts of the Channel Island.
Well, recently the telecom company has announced to buy 5.2% stake in a solar power company, Avaada MHBuldhana.
Furthermore, the company is planning to launch its fastest communication internet facility in the upcoming days of 2020 and 2021. Everyone in India trusts the brand name and the services it provides which translate by millions of active users around the globe. The company is already at the top of its game with an impressive revenue turnover every year through its affordable telecommunication network services and plan subscriptions.
The current deal to acquire stake in Avaada MHBuldhana is the company’s effort to support green energy/solar energy with an all-cash deal of INR 4.55 crore.
According to an exchange filing, Bharti Airtel mentioned that Avaada Energy’s subsidiary Avaada MHBuldhana Private Limited is a newly formed business entity which explains its negligible yearly revenue. The filing also mentioned that the solar power energy company will become operational by March 2021.
Bharti Airtel added that Avaada Energy has till now developed over 1GW (Giga-Watt) wind and solar projects across the nation. The newly formed entity also takes the credit to build India’s first-ever Independent Power Producer (IPP) to have crossed 1Giga-Watt installed capacity.
Bharti Airtel has entered into an agreement on 19th of November 2020 to acquire equity shares in Avaada MHBuldhana which is a special entity created specifically to run and operate the captive solar power plant within the bounds of electricity laws as a regulatory requirement in India.
Furthermore, the deal will be successfully concluded by March 2021.
Earlier this year, in September, Airtel introduced its cybersecurity services in India with an investment of INR 100 crore to strengthen its roots in the industry that carries a potential to offer USD 15-20 billion in revenue over the next four-five years.
Coming to what Avaada MHBuldhana is about, it is a subsidiary of Avaada Energy Private Limited that generates and transmits solar power energy and is committed to providing affordable and clean power in the form of electricity to the nation.
The newly formed company consists of a skilled team with experience and expertise in engineering, procurement and EPC construction capabilities. It has a long term tradition of developing solar and wind-based projects across diverse geographies, according to their website.
Solar energy is the future of electricity in India and Bharti Airtel shows keen interest as a calculated strategy to back such a change in the nation.