ThomasLloyd, a global investment and advisory firm dedicated to the infrastructure sector in Asia, has announced the acquisition of a significant stake in the Delhi-based solar project developer SolarArise India Projects Pvt Ltd.
This is ThomasLloyd’s first renewable energy investment in India, and beyond the current identified portfolio, ThomasLloyd has the scope to expand capacity in excess of 1 GW of grid-connected solar for the Indian solar market.
SolarArise currently owns and operates approximately 130 MW of grid-connected solar power projects in India. This investment is expected to support the company’s expansion of its solar capacity by approximately 250 MW. These projects will be a combination of government and state sector projects as well as selected private sector projects, benefiting from long-term power purchase agreements.
ThomasLloyd will join the existing founding shareholders, the European Initiative on Clean, Renewable Energy, Energy Efficiency and Climate Change related to Development SICAV SIF in relation to Global Energy Efficiency and Renewable Energy Fund (“GEEREF”), advised by the European Investment Bank Group, and Kotak Mahindra managed Core Infrastructure India Fund (“CIIF”), along with the founding management team.
Following the investment, ThomasLloyd says it will become the largest shareholder in the company.
The investment will be from ThomasLloyd Cleantech Infrastructure Holding GmbH, ThomasLloyd Cleantech Infrastructure Fund SICAV and ThomasLloyd SICAV-Sustainable Infrastructure Income Fund.
ThomasLloyd’s chairman Michael Sieg, commented, “Building on our track record of impact investing in southeast Asia we believe this is an important investment in addressing the growing energy needs of India in a sustainable and environmentally responsible manner. We support the government’s renewable energy target outlined in their National Solar Mission of 100GW installed solar capacity by 2022.”
The Indian solar market is fast-growing and dynamic. Previously, Mercom also reported that Greenko Group has entered into a definitive purchase agreement to acquire Skeiron Green Renewables. The deal will add approximately $200 million to Greenko’s EBITDA in the first full year after close, with further accretion and growth anticipated thereafter. When completed, this will be Greenko’ third acquisition in India, and the second in this year alone.