Orient Green Power raises Rs 250 cr from promoters

Shriram Group entity Orient Green Power has raised Rs 250 crore from its promoters Shriram Venture, and other group subsidiaries and existing financial investors including EW Special Opportunities Fund II, and Ecap Equities through preferential allotment of shares.
The preferential shares were priced at Rs 14.56 a share, the company said in a statement.
The fresh round capital infusion reiterates the promoter Shriram group's commitment to renewable energy venture, having already invested Rs 550 crore over the past five years through preferential allotments, open offers and secondary purchases, including this transaction, it added.
Orient Green Power is one of the major renewable energy players with 428 mw of operational wind assets and 106 mw of operational biomass assets.

The company had in June demerged the biomass business. The company will utilize these fresh funds for growth capex as well as deleveraging.
Orient Power managing director S Venkatachalam said "the investment will enable the company to augment its wind energy capacity and reduce interest out go and outstanding debt."

The city-based i-banker Equirus Capital acted as exclusive advisors to Orient Green Power and the Shriram Group, while Nishith Desai acted as the legal advisors.
Equirus Capital managing director Ajay Garg said, "the new round of investment is a strong vote of confidence by the promoters and investors in the business and management of the Orient Power. The fresh capital will allow the company to achieve substantial growth and propel itself to being amongst the biggest renewable energy companies."

Orient Green Power has an operational capacity of 534 mw of wind and biomass assets spanning seven states, while its promoter Shriram Group has diversified interests in infrastructure, renewable energy, financial services and IT services.