Healthcare major Piramal Enterprises on Wednesday announced that its subsidiary Piramal Finance Ltd (PFL) has sanctioned an additional Rs 700 crore to renewable energy firm ACME Solar Holdings.
“The deal was made by introducing a new product — a Flexi Line of Credit — for the renewable energy sector,” a Piramal release said here.
Earlier in 2016, Delhi-based ACME Solar raised Rs 499 crore from PLF and its partner APG, a Dutch pension fund.
According to the statement, ACME is one of the country’s largest private solar energy producers with a portfolio of over 1.8 GW across 14 states. The company’s current operational capacity is over 1 GW and is expected to reach 1.4 GW by the end of September.
Commenting on the development, ACME Group Chairman Manoj Kumar Upadhyay said: “The current funding provides us with the required flexibility to invest in the solar and electric transportation business and ensure timely completion of projects.”
Piramal Finance Managing Director Khushru Jijina said ACME had a strong track record of execution which reduces the off-take risk and had signed power purchase agreements for the entire portfolio.
“In addition, our first round of funding has already seen pre-payments taking place in a short span of time,” he said.
Renewable energy has been one of the key focus areas for the Piramal group as it believes renewables will be one of the key contributors to the energy requirement of the country, the statement said.