Mumbai: Solar energy firm SolarArise India Projects Pvt. Ltd has raised over 200 crore from Core Infrastructure India Fund Pte Ltd (CIIF), managed by Kotak Mahindra Group and Global Energy Efficiency and Renewable Energy Fund (GEEREF), a fund of funds advised by European Investment Bank Group (EIB).

The Gurgaon-based firm in an announcement on Thursday said that it will be raising up to 600 crore in the next few months.

The proceeds will be used for investment in solar photovoltaic (PV) projects in India. “SolarArise aims to implement a relatively low-risk portfolio of around 250MW, through both acquisitions and new developments and demonstrate the long-term value of solar projects to both investors and the country," said Tanya Singhal, co-founder at SolarArise. Founded in 2014, the firm will be focusing on long-term ownership and operations of solar plants.

The transaction also marks the first investment by CIIF. Kotak Mahindra Group raised $90 million in 2013 from investors like Sumitomo Mitsui Banking Corp. and Canada-based asset management company Brookfield Asset Management Inc. for its infrastructure focused fund.

So far, CIIF has achieved its first close. The final close will be sometime next year. After achieving its first close, the fund can start investing.

Commenting on the development, Suman Saha, head, Kotak Infrastructure Fund said, “The commitment to SolarArise is consistent with CIIF’s strategy of selectively investing in geographically diversified portfolios in India’s renewable power sector. We look forward to partnering the SolarArise management to build a high quality portfolio."

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