BackWelspun Renewables receives $617 million funding
Investment has been through a combination of debt and equity infusion by promoters, existing and new investors
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Mumbai: Welspun Renewables Energy Pvt. Ltd (WREPL), India’s leading renewable energy generator, has received funding of $617 million in the latest round.
The investment has been through a combination of debt and equity infusion by the promoters, existing and new investors.
The existing investors of Welspun Renewables include General Electric Co’s unit GE Energy Financial Services and the Asian Development Bank.
A person close to the development said GE Electric has participated in the latest round of investment, but it is not clear whether Asian Development Bank participated in this round.
The company did not disclose details about the new investors and structure of financing details.
“WREPL’s power plants are among the highest generating projects in the country and have been built ahead of committed timelines–thanks to our superior EPC (engineering, procurement and construction) capabilities. Being the leaders in this space, we have been setting benchmarks for the entire industry to follow," Vineet Mittal, vice chairman at Welspun Renewables, said in a statement.
“These deals continue to prove that renewable energy sector is a preferred investment choice and global players are willing to commit to help grow the industry. Just last year, two of the biggest international names–The Asian Development Bank and General Electric made significant investments in our operations. We are grateful for the support," Mittal said.
India needs as much as $200 billion to meet its target to install 100 gigawatts of solar power and 60,000 megawatts of wind power by 2022.
Obtaining affordable, long-term and adequate funds has been a challenge for developers of clean-energy projects in India, where interest rates are high and banks are often reluctant to lend to renewable energy projects.
In the statement, WREPL said the organization is committed to setting up 5 GW capacities and of this 1 GW will be commissioned well within this financial year.
At present the organization’s solar and wind projects are spread across eight different states in the country.
Till date through its clean energy projects Welspun Renewables has generated over 1.375 billion units of clean energy and mitigated 1.2 million tonnes of CO2 emissions.
Last year, the Asian Development Bank invested $50 million into equity capital of WREPL for an undisclosed stake.
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