World Bank sanctions $1.5 billion to advance India’s low-carbon transition
The World Bank has sanctioned $1.5 billion in funding to support India’s initiatives in advancing low-carbon energy development. As part of the second programmatic development policy initiative for low-carbon energy, this initiative seeks to promote a strong market for green hydrogen, enhance renewable energy capacity and encourage investments in low-carbon energy solutions. The second phase marks another instalment in a series, each valued at $1.5 billion.
AGEL raises $400 million for its solar power projects in Gujarat and Rajasthan
Adani Green Energy Limited (AGEL) has secured $400 million in financing from a consortium of international lenders for its 750 MW solar power projects under construction in Rajasthan and Gujarat. The 500 MW Rajasthan project has a long-term power purchase agreement with the Solar Energy Corporation of India, while the 250 MW Gujarat project is a standalone merchant power project located in Khavda, Gujarat. Lenders such as Cooperative Rabobank U.A., DBS Bank, Intesa Sanpaolo S.p.A., MUFG Bank and Sumitomo Mitsui Banking Corporation have provided the debt facility.
REC Limited secures JPY 31.96 billion green loan from Deutsche Bank
REC Limited has availed a green loan of JPY 31.96 billion to finance eligible green projects in India. This green facility is a first-of-its-kind collaboration between an Indian government entity and Deutsche Bank AG, GIFT City branch. This facility sets a benchmark in the Indian public sector landscape for similar green financing transactions, highlighting a growing commitment to sustainable financing. The facility also marks one of the first JPY-denominated green loan transactions for Deutsche Bank AG, GIFT City.
ADB and ENGIE sign loan agreement worth Rs 14.6 billion for 400 MW solar project
The Asian Development Bank (ADB) and the ENGIE Group have signed a long-term local currency loan agreement to construct and operate a 400 MW solar PV power plant in Surendranagar, Gujarat. ADB was the mandated lead arranger for the entire loan totalling Rs 14.6 billion, with ADB and the Asian Infrastructure Investment Bank both providing Rs 7.3 billion.
Greenko Group secures $743 million credit line from NaBFID
The Greenko Group has secured a Rs 62 billion ($743 million) credit line from India’s National Bank for Financing Infrastructure and Development (NaBFID). The funds will be used to partially refinance offshore debt, specifically two sets of dollar bonds maturing in January and July 2025. The credit line will be disbursed in tranches and is aimed at reducing Greenko’s dollar-denominated debt, which is more expensive compared to local currency loans.
INOX Wind to become debt free with infusion of Rs 9 billion by promoter
INOX Wind Limited (IWL) has completed the infusion of Rs 9 billion into the company by its promoter Inox Wind Energy Limited (IWEL). The funds were raised by IWEL in May 2024, through the sale of IWL’s equity shares via block deals on the stock exchanges, witnessing participation from several marquee investors. The funds will be utilised by IWL to completely pare down its external term debt to achieve a net debt free status.
ACME Solar files DRHP with SEBI
ACME Solar has submitted its draft red herring prospectus (DRHP) to the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO) valued at Rs 30 billion, each with a share priced at Rs 2. The planned IPO includes a fresh issue of shares worth up to Rs 20 billion and an offer for sale totalling up to Rs 10 billion. The company might also consider a pre-IPO placement of up to Rs 4 billion, which will decrease the size of the fresh issue. ACME Solar intends to allocate Rs 15 billion from the net proceeds to repay or prepay certain outstanding borrowings of its subsidiaries, with the remaining funds designated for general corporate purposes.
Brookfield unveils investment in Leap Green Energy
Brookfield has finalised agreements to acquire a majority controlling stake in Leap Green Energy, a Tamil Nadu-based renewable energy solutions provider serving commercial and industrial clients. Brookfield plans to invest more than $200 million initially in Leap Green, involving both subscribing to new shares and purchasing shares from existing shareholders.
Additionally, Brookfield has the option to inject an additional $350 million in equity to bolster Leap Green’s future expansion.
ADB approves support for power sector reforms in Sri Lanka (Overseas)
ADB has approved a $100 million policy-based loan for Sri Lanka aimed at enhancing the financial sustainability of its power sector. The power sector reforms and financial sustainability programme will work in conjunction with the International Monetary Fund’s Extended Fund Facility arrangement. The programme will focus on implementing reforms outlined in the Electricity Act, including institutional and regulatory changes to improve the financial sustainability and operational efficiency of the electricity sector. The key components include strengthening corporate governance, supporting financial sustainability measures and advancing renewable energy expansion plans from 2023 to 2030. In addition to the loan, ADB will allocate an additional $1 million from its technical assistance special fund.