JSW Neo Energy, a subsidiary of Indian energy company JSW Energy, has agreed to purchase a renewable energy portfolio from Mytrah Energy (India) for Rs105.3bn ($1.3bn).

The portfolio has more than 1.7GW of capacity across 17 special purpose vehicles (SPV) and one ancillary SPV.

Its acquisition is said to be the largest in JSW Energy‘s history.

The ten wind SPVs in the portfolio have more than 1.3GW of combined power generation capacity, while the remaining solar SPVs have a collective power generation capacity of 422MW.

These SPVs are located primarily in the southern, western and central parts of India.

Around 2.5GW of wind and hydropower capacity is understood to be under construction and expected to come online over the next 18-24 months.

In its regulatory filings, JSW Energy said: “Necessary definitive agreements have been signed between the parties.

“The transaction is subject to the approval of the Competition Commission of India (CCI) and other customary approvals standard to a transaction of this size.”

The deal will increase the company’s operational power generation capacity from 4.7GW to 6.5GW, a growth of more than 35%.

JSW Energy joint managing director and CEO Prashant Jain said: “This acquisition further strengthens and diversifies our operating footprint across various key resource-rich states.

“We also believe that by leveraging our strong industry, operating and financing expertise, we would be able to significantly improve the operating performance of this entire portfolio, which will ultimately create tremendous value to our shareholders.”

In April this year, reports emerged that JSW Group was planning to build a 900MW pumped storage hydroelectric power project in the Indian state of West Bengal.

West Bengal’s state government has decided to develop the project on a public-private partnership (PPP) model.

It has also planned for a third pumped storage power plant at the Bandhunala project in Purulia.