Sumitomo to take 49% stake in Hero Future's 500 MW Karnataka renewable project

Sumitomo Corporation has agreed to acquire a 49 per cent stake in a 500 megawatt renewable energy project being developed by Hero Future Energies in Karnataka, according to industry sources. The investment positions Sumitomo as a significant minority partner in the hybrid facility, which integrates wind power, solar generation, and large-scale battery energy storage on a single platform.

Hero Future Energies will retain operational control with a 51 per cent stake in the project. The arrangement reflects the growing interest among international investors in India's renewable energy sector, particularly in integrated clean energy solutions that combine multiple generation technologies with storage capabilities.

The Karnataka project represents a strategic move by both partners to tap into India's expanding clean energy market and meet rising electricity demand through diversified renewable sources. The addition of battery storage to the wind and solar components addresses grid stability concerns and enables more flexible power supply management.

The transaction underscores the increasing capital flow into India's renewable energy infrastructure, as developers and investors seek to build projects that can reliably serve industrial and commercial consumers while supporting the country's renewable energy targets. Financial details of the acquisition were not disclosed.