Avaada Energy, the renewable energy arm of India’s Avaada Group, on Friday said it has closed $535 million (Rs 4,471 crore) in refinancing from the state-owned National Bank for Financing Infrastructure and Development (NaBFID).
The financing from NaBFID has allowed the prepayment of existing loans and offered a successful exit to multiple company lenders. The facility, sanctioned and disbursed as a 20-year Rupee Term Loan (RTL) facility, achieves significant commercial improvements over the earlier facilities prepaid, the firm said.
This refinancing transaction, conducted under a Restricted Group (RG) structure, encompasses four ISTS-connected solar projects with a combined capacity of around 1700 MWp in the state of Rajasthan.
“These assets (in Rajasthan) have been operational for approximately two years. This is one of the largest transactions ever conducted in India’s renewable energy market and allows us to pay off existing lenders and welcome NaBFID as the new single lender,” Vineet Mittal, Chairman of Avaada Group, said.
Established in 2009, Avaada Group is an energy transition company in India with business interests spanning solar module manufacturing, electrolyser manufacturing, and green ammonia production.
Avaada Energy aims to achieve 11 GW capacity by 2026. Last year, Avaada Group amassed $1.07 billion from Brookfield to expand its green hydrogen and green ammonia ventures and $300 million from GPSC, PTT Group of Thailand.
On Friday, International Finance Corporation (IFC), a member of the World Bank Group, said it is considering a $125-million equity investment in Indian solar panel provider Fourth Partner Energy, according to a disclosure.
Earlier this week, GPS Renewables, India’s full-stack technology firm focused on clean fuels, raised $50 million in debt financing from private and public sector banks and NBFCs.
Separately, tech-to-tractor conglomerate Mahindra Group will invest Rs 1,200 crore (about $144 million) to set up solar and wind energy projects of 150 megawatt (MW) hybrid capacity in India, it said recently.
