A leading Indian IPP, Adani Green Energy Limited (AGEL) has announced that it raised a $1.35 billion debt package for its renewable asset portfolio which is currently under construction. Further, the company has signed definitive agreements with international lenders. The funding will be utilised to finance 1.69 GW of solar-wind hybrid projects currently being developed in the Indian state of Rajasthan.
As per the agreement, twelve international banks will participate in the facility, including Standard Chartered Bank, Intesa Sanpaolo, MUFG Bank, Sumitomo Mitsui Banking Corporation, Coöperatieve Rabobank U.A., DBS Bank Ltd., Mizuho Bank, Ltd., BNP Paribas, Barclays Bank PLC, Deutsche Bank AG, Siemens Bank GmbH and ING Bank N.V. The deal is the first green hybrid project loan in India and one of the largest revolving project financing deals for green energy in Asia.
AGEL currently owns and operates 14.8 GW of renewable energy projects which are in various stages of development. The funding is expected to help the company fund its under-construction renewable projects and eventually take its portfolio to 25 GW by 2025. Further, the facility will also ensure the banks’ capital recycling needs are achieved and make the same capital available for the company’s future projects.
In January 2021, French oil company, Total SA announced a $2.5 billion investment in AGEL. The deal will see Total acquiring a 20 per cent minority stake in AGEL as well as a 50 per cent stake in a 2.35 GW solar portfolio owned and operated by the Indian developer.