Azure Power is navigating leadership churn; a stake sale may be next
Azure Power Global Limited, India’s first renewable energy company to have listed in the US, is exploring a possible stake sale to a strategic partner or even a complete sale of the business, two people aware of the development said. The company has called a special meeting of shareholders on 20 March at its Gurugram office, according to a 9 February statement. Azure Power, which listed on the New York Stock Exchange in 2016 and subsequently delisted in 2023, has backers in Canadian pension funds Caisse de dépôt et placement du Québec (CDPQ) and Ontario Municipal Employees’ Retirement System (OMERS), which hold 53.4% and 21.4% stake, respectively, in the company.
The company has been struggling with top management churn and is also reportedly facing an investigation in the US. While spokespersons for CDOQ and OMERS declined comment, an Azure Power spokesperson didn’t respond to emailed queries. Founded in 2008, the renewable energy company has an operational capacity of 3.04 giga watt (GW), and a contracted and awarded capacity of 4.3 GW.
Azure Power has seen significant churn in its top management in recent years. After founder Inderpreet Wadhwa left the firm in 2019, the new CEO Ranjit Gupta and COO Murali Subramanian also resigned in April 2022. Then, Harsh Shah, who joined as CEO on 1 July 2022, left on 29 August 2022, after which Rupesh Agarwal, who had joined as chief strategy and commercial officer, was made the acting CEO.
After Aggarwal left in July 2023, the board brought in Sunil Gupta as the CEO. Finally, on 15 March 2024, Azure Power announced the resignation of M.S. Unnikrishnan as the chairman and member of the board.
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