Keppel to acquire majority stake in Shell-backed C&I firm Cleantech Solar

A consortium led by Singaporean conglomerate Keppel Corporation is acquiring a 51% stake in Asian commercial and industrial (C&I) solar specialist Cleantech Solar for up to US$150 million.
The remaining 49% interest in the firm will be held by existing shareholder Shell, with the oil and gas major making that investment in 2018.
Singapore-headquartered Cleantech Solar said backing from Keppel and Shell is expected to bring in growth capital and know-how to support its growth plans, which include a target of reaching 3GW of solar capacity in the next five years.
Founded in 2015, Cleantech Solar’s current portfolio consists of 600MW of assets that are under development, construction or already operational across India and six Southeast Asian markets: Thailand, Malaysia, Indonesia, Cambodia, Singapore and Vietnam.
Having secured a US$75 million loan in 2020 to fund its expansion across Southeast Asia, Cleantech has since installed rooftop PV plants for clients such as Dulux owner AkzoNobel and commodities trader Cargill.
Keppel CEO Loh Chin Hua said the acquisition will accelerate the conglomerate’s clean energy expansion as it looks to reach 7GW of renewables by 2030, adding: “It allows us to not only tap the expertise and experience of Cleantech in solar energy projects, but also explore opportunities for collaboration with other parts of the Keppel Group.”
Keppel subsidiary Keppel Renewable Energy last year secured a deal to develop a solar PV project in the Australian state of Queensland that is expected to have a capacity of at least 500MW.
Other announcements in the Asian C&I solar sector this year have seen Netherlands-based liquified petroleum gas distributor SHV Energy acquire a majority stake in Indian solar developer SunSource Energy, while French oil and gas major Total formed a joint venture focused on distributed solar generation in Saudi Arabia.
In addition to its ownership stake in Cleantech Solar, Shell is collaborating with US-based C&I solar developer Altus Power to offer integrated renewables and energy storage solutions to customers.
In Singapore, Shell earlier this year signed a memorandum of understanding to explore the development of a solar project with a capacity of at least 72MW at a landfill site.