ReNew Power, the renewable energy company is seeking to be listed on NASDAQ by entering an agreement with RMG Acquisition Corporation II (RMG II). The combined entity would be listed under new ticker symbol RNW.
The combined company would be named ReNew Energy Global PLC. "Pro forma consolidated & fully diluted enterprise value of approximately $8 billion;
transaction expected to close in the second quarter of 2021, subject to customary closing conditions," the company said in a statement.
The company anticipates total proceeds of $1.2 billion, comprising $855 million fully-committed private placement of common stock in ReNew Power and $345 million of gross cash held in trust by RMG II, subject to redemptions.
"Over the next decade, ReNew plans to maintain its track record of market share growth, and contribution to the greening of the Indian power sector, and to help meet the Indian government’s ambitious renewable energy targets," said Sumant Sinha, Founder, Chairman & Chief Executive Officer of ReNew.
ReNew’s management and its current group of stockholders including Goldman Sachs, the Canada Pension Plan Investment Board, Abu Dhabi Investment Authority, and JERA Co who together own 100 per cent of ReNew, will be rolling a majority of their equity into the new company, and are expected to represent 70 per cent of the effective company ownership upon transaction close.
