Reliance New Energy Solar Ltd acquires REC Solar Holdings for USD 771 million

Mumbai (Maharashtra) [India], October 10 : Reliance New Energy Solar Limited (RNESL), a wholly-owned subsidiary of Reliance Industries Limited (RIL), has announced the acquisition of 100 per cent shareholding of REC Solar Holdings AS (REC Group) from China National Bluestar (Group) Co Limited, for an enterprise value of USD 771 million.
REC is headquartered in Norway and has its operational headquarters in Singapore and regional hubs in North America, Europe, Australia, and Asia-Pacific. REC Group is an international pioneering solar energy company leading the industry through its technological innovations and superior, high efficiency and long-life solar cells and panels for clean and affordable solar power.
The acquisition of REC will help Reliance with a ready global platform and the opportunity to expand and grow in key green energy markets globally, including in the US, Europe, Australia and elsewhere in Asia.
"The heterojunction (HJT) technology used by REC helps its modules surpass the performance of other commonly used technologies in the industry," it added.
The 25-year-old company has three manufacturing facilities - two in Norway for making solar-grade polysilicon and one in Singapore making PV cells and modules. REC's Alpha and Alpha Pure range of solar modules are recognized as among industry leaders in efficiency, reliability and long guaranteed life, RIL said in a statement.
REC has over 600 utility and design patents, of which 446 are granted and balance are under evaluation. It always had a strong focus on research and development and now, coupled with Reliance's world-class innovation, scale, and operational excellence will further accelerate path-breaking technological developments and the introduction of new products.
REC is a trusted brand globally known for pioneering innovations. REC was the first to introduce half-cut Passivated Emitter and Rear Cell (PERC) technology, which is adopted by all major manufacturers today, while REC has moved on to its, next-generation HJT technology. REC's Norway operation is distinguished by its low carbon footprint in the manufacture of polysilicon.
Reliance will strongly support for REC's planned expansions including 2-3 GW Cells and Module capacity in Singapore, a brand new 2 GW Cells and Module unit in France and another 1 GW Modules plant in the US.
In India, Reliance plans to use this industry-leading technology in their fully integrated, metallic Silicon to PV Panel manufacturing giga factory at Dhirubhai Ambani Green Energy Giga Complex, Jamnagar initially starting with 4 GW per annum capacity and eventually growing to 10 GW per annum.
Speaking about the acquisition, Mukesh Ambani, Chairman of Reliance Industries Limited, said: "I am immensely pleased with our acquisition of REC because it will help Reliance tap the unlimited and year-long power of Soorya Dev, the Sun God, that India is fortunate to be blessed with. It 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."
"This will constitute the largest contribution by a single company to Honourable Prime Minister Narendra Modi's target for India to produce 450 GW renewable energy by 2030. It will enable India to become a world leader in the green energy transition to overcome the climate crisis. Together with our other recent investments, Reliance is now ready to set up a global scale integrated Photovoltaic Giga factory and make India a manufacturing hub for the lowest cost and highest efficiency solar panels. We will continue to invest, build and collaborate with global players to achieve the highest reliability, efficiency and economies to deliver high quality, reliable power at affordable prices to our customers both in India and markets worldwide," he added.
"I am especially happy about the opportunity to facilitate the creation of millions of green employment opportunities in a decentralised manner in rural and urban areas. As I heartily welcome multinational employees of REC into the Reliance Family, I assure them that they will now become participants in one of the most exciting and ambitious missions to lead India and the world into a new era of green energy-led sustainable and inclusive development. With utmost commitment and determination, we shall together do our bit to care for Mother Earth and to care for all the people on the planet, which is central to Reliance's business philosophy," he said.