Adani Green (AGEL) Raises $288 Million for Renewable Energy Projects

Renewable major Adani Green Energy Ltd (AGEL) has raised $288 million afresh from a group of global lenders through green project loan agreements. The facility has been raised to fund the under-construction renewable asset portfolio of the company.

AGEL has said through an official statement that the new loan will help the company to initially finance 450-megawatt (MW) solar and wind hybrid projects. These projects are being constructed in the state of Rajasthan. It also said that $288 million facility has heightened AGEL’s construction financing framework to $1.64 billion.

The facility has been realized in the form of a certified green hybrid project loan from seven international banks. These are BNP Paribas, Cooperatieve Rabobank U.A., Intesa Sanpaolo S.p.A., MUFG Bank Ltd., Societe Generale, Standard Chartered Bank, and Sumitomo Mitsui Banking Corporation. The company says that the loan will fasten the completion of the projects and help accelerate energy transition.

Vneet S. Jaain, Managing Director and Chief Executive Officer, AGEL, said, “The construction facility is the key ingredient of AGEL’s capital management plan, enabling us to deliver on our focus on decarbonizing power generation.”

Jain added, “We are committed to sustainable growth and to catalyzing energy transition. AGEL has set a target of achieving 45 gigawatts (GW) renewable energy capacity by 2030, representing 10% of the government of India’s 450 GW countrywide renewable energy target. Our development agenda is in sync with overall capital stewardship maintained through our capital management philosophy focused on sustainable growth.”

Exactly a year ago in March 2021, AGEL had clinched a $1.35 billion construction revolver facility. This was then considered one of the top project financing deals in Asia.

Adani Group is also setting up a new subsidiary called Adani New Industries Ltd (ANIL) that will exclusively develop green hydrogen projects and generate low carbon power. ANIL will also be responsible for producing wind turbines, solar modules and storage batteries.

AGEL says that it is committed to the United Nations Sustainable Development Goals and the ideals of it are incorporated into the company’s environment, social and governance (ESG) strategy.