ReNew Power to merge with RMG for US listing
Goldman Sachs backed ReNew Power Ventures Pvt. Ltd on Wednesday took a step closer to a US listing by announcing a merger agreement with RMG Acquisition Corp. II (RMG II), a Nasdaq-listed special purpose acquisition company (SPAC).
The transaction puts an enterprise value of around $8 billion on ReNew Power, and is expected to close in the second quarter of this year, the two companies said in a joint statement.
SPACs are publicly traded shell companies which merge with unlisted companies to take them public, skipping the conventional route of initial public offerings (IPOs). ReNew Power deal comes against the backdrop of Indian green energy developers exploring the SPAC route, which has emerged as a popular alternative to IPOs.
