Hero Future Energies raises Rs 300 crore in debt

Hero Future Energies, the renewable energy venture of the Hero Group, today said it has raised Rs 300 crore through issuance of rated and secured non-convertible debentures.
The funds would be used for expansion of the wind portfolio, the company said in a statement.
The company claimed that it issued India's first certified climate bond to raise Rs 300 crore for expansion of its wind portfolio, through its wind holding entity.
Climate bonds are green bonds which require mandatory independent third party verification to provide additional assurance to investors about the climate benefit of their investments, it said.
Hero Future Energies Managing Director Rahul Munjal said that achieving goal of 175 GW of renewables by 2022 requires a multipronged approach, including innovative financing, newer structures and attracting global investors.

"As the certified green bond market scales up in India, it is likely to open up new avenues in renewable energy financing. This kind of certification is an assurance on green 'use of proceeds' and will thus attract global institutional investors to fund the growing requirements of this sector in the country," he said.

Hero Future Energies CEO Sunil Jain said, "The proceeds from the fund raised will be invested in realising our goal of 2.5 GW over the next few years."
The Climate Bonds Initiative, which is an international, investor-focused not-for-profit organisation, issues this certification under robust framework for monitoring, reporting and assurance of conformance with the relevant Climate Bonds Initiative standards.

The certificate for conformance with Climate Bonds standard has been issued following an independent third party assurance.