Adani in talks with Softbank, Foxconn for $3-bn solar cell project: report

20 Aug 2015

Infrastructure major Adani Group is in talks with Japan's Softbank and Taiwan's Foxconn to secure investment in a $3-billion project to manufacture solar cells and panels in the country, reports quoting sources close to the development said.

The proposed investment is in line with the Narendra Modi government's clean energy programme, which envisages investments to the tune of $160 billion in clean energy projects over the next five years.

Softbank and Foxconn together with India's Bharti Enterprises have already pledged to invest about $20-billion in solar projects in India.

The new deal with Adani would boost Modi's efforts to promote local manufacturing and job creation.

Reports said Adani Group chairman Gautam Adani has actively been engaged in negotiations with Softbank chairman Masayoshi Son and Foxconn head Terry Gou.

"(Adani) are talking to Softbank, they are talking to Foxconn. They may partner with both of them. Something will be finalised in the coming few months," the source said. Both sources said the deal was yet to be finalised.

Softbank and Foxconn have planned and already invested in several existing projects and start-ups in India in recent times.

Adani and US solar power company SunEdison had, in April, called off a $4-billion agreement signed last year, and according to sources, the current negotiations with Foxconn and Softbank are aimed at reviving Adani's clean power ambitions.

Adani ended talks with SunEdison as their technology proved to be too costly.

Adani is now looking to set up a plant to produce 3 Giga Watts (GW) of solar cells and panels, probably in Gujarat, the home state of both Adani and Prime Minister Narendra Modi, by 2020, sources said.