Renewable energy company Greenko Group announced the signing of definitive agreements for a primary equity raising of US$ 700 million from affiliates of Singapore’s sovereign wealth fund GIC, ORIX Corporation, and a wholly owned subsidiary of the Abu Dhabi Investment Authority.

Greenko said that it would use the funds raised to accelerate its decarbonization efforts through the supply of carbon-free energy.

The company will use the $700 million investment towards the capital expenditure of pumped storage projects which will have a storage capacity of more than 25 GWh, enabling 45 billion units of dispatchable carbon-free energy.

Through its pumped storage projects, Greenko aims to deliver the lowest cost energy storage at scale targeting approximately 50 GWh by 2025.

CEO and Managing Director at Greenko Anil Kumar Chalamalasetty said, “Carbon-free energy is helping accelerate industrial decarbonization, enhancing the green quotient of the Indian grid and developing of green molecules and chemicals at a competitive cost. This equity commitment from the existing shareholders reinforces their trust in our vision. Greenko is leading India’s energy transition through the implementation of large-scale and long-term solutions, and it continues to deliver long-term value to all our stakeholders.”

Chief Investment Officer of Infrastructure at GIC Ang Eng Seng said, “Cost-effective long-duration energy storage is key to unlocking widespread adoption of renewable energy, accelerating India’s energy transition plans, and spurring the global transition to a net-zero economy. Greenko is uniquely positioned as the leading market provider of long-duration energy projects through its pumped storage projects.”

In January this year, Greenko announced an investment of ₹100 billion (~$1.2 billion) in setting up a pumped storage project in the Neemuch district of Madhya Pradesh. The daily storage capacity of the project would be 11 GWh, the company said.

Last month, Greenko ZeroC, the green molecule production arm of the Greenko group, and Uniper, a Germany-based energy company started negotiations for the offtake of 250,000 tons per annum of green ammonia to the European Union.