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NSL Renewable Power Private Limited, a part of the Hyderabad-based Nuziveedu Seeds (NSL) group, on Monday announced it had entered agreements with a group of investors to raise $60 million (Rs 326.3 crore) to fund its expansion.
The company, which has an installed capacity of 185-Mw in renewable energy, said the fresh round of investment would enable it to more than double its capacity in the next 18 months.
The group of investors comprises development finance institutions, Deutsche Investitions-und Entwicklungsgesellschaft (DEG) of Germany, and Proparco from France, Asia Clean Energy Limited, a private equity fund from South Korea, and GS Power Company Limited also from South Korea. The existing investors in the company —International Finance Corporation and FE Clean Energy — also took part in this round of fund raising, a company release said.
M Prabhakar Rao, chairman of NSL group, said the investment from these institutions was a testament to the company's capabilities in this sector and validates the strong business model that it had built over the past several years. “With this investment, the company will be able to accelerate its development pipeline and is well poised to achieve its targeted potential of being a 1 Gigawatt company by 2016,” he said in a statement. The company had earlier raised $40 million from FE Clean Energy and $20 million from the International Finance Corporation.
However, it refused to give details about the percentage of equity that would be given to these institutions against their investment and how much stake the promoters currently hold in the company. A company representative said NSL Renewable would be willing to share those details at a later date.
The company’s renewable energy portfolio includes 148 Mw of wind power, 20 Mw of solar power, 12 Mw biomass power and 5 mw of hydel power. It is implementing 200 Mw in wind and 150 Mw in hydro power sector, the release stated.
