Aditya Birla Renewables buys Shell's Sprng Energy in 17,200 crore deal

MUMBAI: Aditya Birla Renewables (ABRen), the renewable energy arm of Grasim Industries, is set to acquire Shell's India-based renewable energy business, Sprng Energy, for an enterprise value of Rs 17,200 crore ($1.8 billion) including debt, marking one of the largest transactions in the country's clean energy sector by value and scale.

Kumar Mangalam Birla, chairman of Grasim, described the deal as central to "one of the largest energy transformations underway anywhere in the world."The deal adds 5 GWp (Gigawatt-peak) of contracted capacity - 3.3 GWp operational, 1.7 GWp under construction - to ABRen's existing portfolio of 4.4 GWp. It follows Adani Green Energy's $3.5 billion purchase of SoftBank and Bharti Group's SB Energy India in 2021, which remains the largest renewable energy deal in the country.

ABRen plans to fund the acquisition through a mix of debt and equity from Grasim, alongside capital from Global Infrastructure Partners (GIP), a unit of BlackRock. The equity consideration payable to Shell will be determined after adjusting for debt and cash. The deal is expected to close by the end of 2026, subject to regulatory approvals.To be sure, in Dec 2025, GIP had invested Rs 3,000 crore in ABRen, valuing the company at an enterprise value of Rs 14,600 crore.

Sprng, acquired by British oil major Shell in 2022, has built its portfolio of solar, wind and hybrid assets on long-term power purchase agreements with utilities and commercial customers. Investment firms KKR, Actis and a grouping of NIIF and Temasek had also expressed interest in Sprng.The sale extends Shell's retreat from capital-intensive renewables development. It has shifted its power business towards a trading-led model, exiting a series of lower-return wind and solar positions globally, while maintaining investment in electric mobility, biofuels and integrated energy solutions.Indian conglomerates and infrastructure funds have continued to consolidate the sector to meet rising demand and the govt's push towards 500 GW of non-fossil fuel capacity by 2030. The sector is dominated by Adani Green Energy and ReNew Energy Global.