Indian sources: Fortum’s saga in the country coming to an end – Fortum does not comment

Fortum on the Indian media including completing the sale of its electric vehicle charging business in India. The deal would mean the company’s withdrawal from the market where it has operated for more than ten years.

SLIDE: ksi the buyer of the named business is said to be Indian JBM Group. This was reported by the Indian financial magazine The Mint, which cited two unnamed sources close to the transaction process.

Fortum communications does not comment on the matter.

“As a listed company, we do not comment on market rumors or speculations,” Fortum’s communication tells Kauppalehti.

Fortum’s operations in India began in 2012, when the company started developing renewable energy in the country. The company later expanded into electric vehicle charging solutions, establishing the GLIDA network, which grew into one of India’s largest private charging networks.

GLIDA has at least 750 charging points across India, covering both major cities and major traffic routes.

A deal worth hundreds of millions?

A possible purchase price has not been officially published.

According to local reports, the combined value of Fortum’s Indian renewable energy and electric vehicle charging businesses has been estimated at around US$300 million.

Fortum has previously stated publicly that the decision to reduce operations in India is part of the company’s strategic orientation, where the company aims to focus on its core market, i.e. the Nordic countries.

India’s renewable energies and electric car charging markets have been promising in terms of growth potential, but at the same time challenging. The charging market has suffered especially due to infrastructure construction difficulties and local regulation.

According to The Mint magazine local Opus Corporate Finance is acting as an advisor in the transaction process, and JBM Group is currently conducting GLIDA’s background investigation.

JBM Group is an Indian multi-sector company that works in areas such as vehicle technology, electric transport and renewable energy.

If the deal goes through, Fortum would completely exit India and at the same time transfer the responsibility for developing electric vehicle charging infrastructure to a local player. Completion of the deal requires the completion of the inspection and the approval of the local authorities.