Major Stake Sale in Gentari's India Business Draws Global Interest
Global private equity giants and strategic investors are circling a significant opportunity in India's renewable energy sector. Macquarie, Actis, and Sembcorp are actively evaluating bids for a 50% stake in Gentari's India operations. Serentica Renewables and the JSW Group are also considering participation in this high-stakes deal.
Valuation and Bidding Timeline
Gentari seeks an enterprise valuation between $2 billion and $2.5 billion for its India business. However, due to substantial debt, the equity value sits at approximately $600-700 million. The first round of bidding is expected to commence towards the end of this month.
"There are half a dozen private equity and strategic investors who are keen to bid," revealed one source familiar with the discussions. This person spoke on condition of anonymity, highlighting the confidential nature of the negotiations.
When contacted for comment, a Macquarie spokesperson declined to provide details. Queries sent to Gentari, JSW Group, Sembcorp, Serentica, and Actis did not receive immediate responses.
Gentari's Strategic Position in India
Gentari, the global clean energy solutions arm of Malaysian energy major Petronas, considers India a key growth market. The company holds a renewable energy portfolio of about 7GW in India, including projects currently under development. This positions Gentari as a mid-sized player in the competitive Indian market.
For perspective, Adani Green Energy Ltd, the market leader, operates a renewable energy portfolio of 17.2GW as of December 2025. Gentari strengthened its position in early 2025 by acquiring 1.6GW of solar and wind energy assets from Brookfield Asset Management in a $900 million deal.
Beyond renewable energy generation, Gentari operates a mobile-based application for electric vehicle charging across India. The company has also partnered with AM Green to jointly invest in green ammonia production, expanding its clean energy footprint.
Leadership and Corporate History
Sharad Pungalia currently leads Gentari's India operations. Before joining Gentari, Pungalia served as managing director and chief executive at Amplus Solar, a renewable energy platform focused on commercial and industrial customers. Gentari acquired and merged with Amplus Solar in 2019, rebranding the combined entity under the Gentari name.
Broader Industry Context
Gentari's decision to sell a stake in its India business follows a pattern among global energy majors operating in the country. Many are either exiting completely or seeking to monetize their investments, attracted by high valuations and significant growth potential in the Indian market.
In June last year, reports indicated that Gentari had appointed Standard Chartered Bank to identify potential buyers for its India operations. This move aligns with similar actions by other global players in the renewable energy space.
Several companies owned by global private equity firms or strategic investors, including Vibrant Energy, Statkraft Group, and Zelestra, have either sold or are exploring sales of their India portfolios. This trend reflects both the challenges and opportunities within India's green energy sector.
Challenges in India's Renewable Energy Market
Despite achieving record installation milestones, India's renewable energy sector faces substantial obstacles. Approximately 44GW of awarded projects remain stranded without signed power purchase agreements. Cash-strapped distribution companies are avoiding solar power due to stagnant demand.
Record-low exchange prices have further complicated the landscape, sometimes crashing to near-zero levels during peak generation hours. These factors create a complex environment for both existing players and new investors.
India's Ambitious Clean Energy Goals
India has committed to achieving net-zero emissions by 2070, with interim targets including 500GW of renewable energy capacity by 2030 and a 45% reduction in greenhouse gas emissions intensity. The country's renewable energy capacity has grown dramatically from 78GW in FY15 to 199GW in FY24.
Solar power accounts for approximately 80% of new capacity additions. To reach the 500GW target by 2030, about 90GW of capacity is currently under construction, with another 44GW in development phases. The government plans to tender 50GW of renewable energy capacity annually until FY28.
Future Outlook for the Sector
Industry experts predict increased merger and acquisition activity, private equity investments, and market consolidation in the near term. The combination of ambitious government targets, growing investor interest, and evolving market dynamics creates a fertile ground for strategic moves like Gentari's stake sale.
Private equity firms and domestic strategic buyers continue to show strong interest in India's renewable energy space. This transaction represents both a significant opportunity for investors and a reflection of the sector's maturation within one of the world's fastest-growing clean energy markets.
