SAEL Lands $132 Mn from NDB, AIIB & Societe Generale for Andhra Solar Push

SAEL Solar MHP1 Pvt. Limited, a subsidiary of SAEL Industries Ltd., a clean energy company, has secured a debt finance amounting to of US$132 million from three global financial institutions — Asian Infrastructure Investment Bank (AIIB), New Development Bank (NDB), and Societe Generale for development of a solar power project in Andhra Pradesh.

Each institution has committed US$44 million debt funding towards the project, which was awarded through a competitive auction conducted by the Solar Energy Corporation of India (SECI). The investment will be utilized towards the execution and operationalization of the project, in alignment with India’s renewable energy objectives and the ongoing development of clean energy infrastructure in Andhra Pradesh.

Speaking on this, Laxit Awla, CEO, SAEL Industries Ltd. said, “These funds represent a major development for SAEL Industries as we continue our efforts to deliver sustainable clean energy solutions that facilitate India’s transition to a low-carbon future. The support from these institutions reflects confidence in our technical expertise and financial credibility to execute energy infrastructure. We are aligned with the state’s mission to drive forward the clean energy transition and economic development in Andhra Pradesh with this solar project.”

“By supporting SAEL solar project, Societe Generale is committed to enabling solutions that will create value for communities and the broader energy ecosystem, helping India achieve its goals of renewable energy generation adoption” said Dr. Katan Hirachand, Chief Executive Officer, Societe Generale India.

SAEL’s business spans solar and agri waste-to-energy projects across India. It has a portfolio of 6.5+ GW of Solar IPP projects, including both operational and under-development assets across India. The company operates solar module manufacturing facilities totalling a capacity of 3.5GW, utilizing TOPCon technology, further enhancing its vertical integration. SAEL also operates an agri waste-to-energy business, processing nearly 2 million tonnes of agricultural residue annually through 11 plants across Punjab, Haryana and Rajasthan, aimed to help combat pollution.

SAEL is an integrated renewable energy company with in-house Engineering Procurement and Construction (EPC), Operations and Maintenance (O&M), and manufacturing capabilities.

About SAEL:

SAEL Industries Ltd. is a renewable energy company specializing in solar and waste-to-energy. With over two decades of experience in the energy sector, SAEL is committed to providing sustainable and affordable energy solutions. The company has a renewable portfolio of 6.5+GW operating assets across the nation.

ADB Approves $350 Mn Loan to Enhance India’s Logistics Sector and Export Competitiveness

The Asian Development Bank (ADB) has approved a $350 million policy-based loan to support India in strengthening and modernizing its logistics sector. This funding will finance the second subprogram under the Strengthening Multimodal and Integrated Logistics Ecosystem Program. The goal is to create a comprehensive policy, planning, and institutional framework at the state and city levels.

Key Objectives

• Implementing strategic policy reforms to improve infrastructure and streamline logistics processes.
• Promoting the integration of digital technologies to facilitate smoother movement of goods.
• Advancing green transition guidelines for inland waterways and promoting environmentally sustainable logistics practices.
• Creating substantial employment opportunities across urban and rural regions.

The ADB's support aligns with the Indian government's initiatives like the Prime Minister Gati Shakti-National Master Plan (PMGS-NMP) and the National Logistics Policy (NLP), aiming to modernize infrastructure and promote digitization.

"The development of the logistics sector has a profound impact on the manufacturing sector's competitiveness. Improved logistics efficiency enhances supply chain resilience, reduces transaction costs, and boosts export competitiveness,” said ADB Senior Public Management Economist Sameer Khatiwada. “The integration of digital technologies and standardized processes facilitates smoother movement of goods, which is crucial for manufacturing growth.”

Tata Power Secures $4.25 Bn in Financing From Asian Development Bank (ADB) for Key Clean Energy Projects

Tata Power has signed a Memorandum of Understanding (MoU) with the Asian Development Bank (ADB) to secure $4.25 billion in financing for key clean energy projects. 

This agreement was signed at the COP29 climate conference in Baku, Azerbaijan.

This MoU aligns with India's ambitious target to achieve 500 GW of non-fossil power generation capacity by 2030.

Dr. Praveer Sinha, CEO & MD, Tata Power said, “Our collaboration with the Asian Development Bank is a crucial step as we explore innovative financing solutions to drive transformative power sector projects. This MoU reinforces our commitment to advancing India's clean and renewable energy capacity and modernizing our power infrastructure, ensuring sustainable and inclusive growth. These initiatives align with India’s ambitious clean energy goals, contributing to energy security and environmental resilience.”

ADB Director General for Private Sector Operations Suzanne Gaboury said, “ADB is committed to fostering partnerships that promote sustainability and energy security across Asia and the Pacific. As part of this strategy, our engagement with Tata Power reflects a shared vision for a low-carbon, inclusive, and climate-resilient future, supporting India’s transition toward sustainable energy solutions.”

Key Projects

966 MW Solar-Wind Hybrid:

• Project: This project aims to combine solar and wind energy to provide a stable and sustainable power source.
• Pumped Hydro Storage Projects: These projects will help store energy for later use, enhancing the reliability of renewable energy sources.

Battery Storage Solutions:

Investing in advanced battery storage to support the integration of renewable energy into the grid.

Distribution Network Upgrades:

Financing capital expenditure to strengthen Tata Power's distribution networks.

Goals:

• Energy Security: Enhancing India's energy security by increasing the share of renewable energy in the power mix.
• Environmental Resilience: Supporting India's transition to a low-carbon, climate-resilient future.
• Inclusivity: Integrating gender and climate actions to empower women as economic agents in deploying green technologies and accessing green jobs.

This partnership aligns with India's ambitious target to achieve 500 GW of non-fossil power generation capacity by 2030. 

IndusInd Bank and ADB join hands to support Supply Chain Financing

IndusInd Bank has today announced a strategic partnership with Asian Development Bank (ADB) to support and promote Supply Chain Finance (SCF) solutions in India. The Bank has entered into a partial guarantee programme with ADB with an initial outlay of USD 70 million (Rs 560.0 crore), exclusively towards promoting Supply Chain Finance solutions in India.

IndusInd Bank aims to grow its presence in MSME financing and this partnership will further strengthen various initiatives of the Bank in this domain. With SCF being a focus area, the Bank has initiated a host of strategic efforts including the launch of new product structures for SCF. In addition to this, the Bank recently launched a state-of-the-art digital portal for SCF – ‘earlyCredit’ enabling 24*7 seamless processing of SCF transactions for corporates, suppliers & dealers.

Commenting on the partnership Mr. Amitabh Saraff, Head - Financial Services, SME Business & SCF, said “At IndusInd Bank, we look forward to funding the entire ecosystem of a corporate entity by offering holistic SCF solutions, meeting end-to-end requirements of both corporate and their dealers/suppliers thereby being a true partner in their growth trajectory. Partnership with a global organisation like ADB strengthens our SCF platform, a leading provider in the country. This association will further open up opportunities for the Bank to innovate and empower our clients with the best financing solutions.”

About IndusInd Bank

IndusInd Bank, which commenced operations in 1994, caters to the needs of both consumer and corporate customers. Its technology platform supports multi-channel delivery capabilities. As on June 30, 2022, IndusInd Bank has Branches / Banking Outlet and ATMs spread across geographical locations of the country. The Bank also has representative offices in London, Dubai and Abu Dhabi. The Bank believes in driving its business through technology. It enjoys clearing bank status for both major stock exchanges - BSE and NSE - and major commodity exchanges in the country, including MCX, NCDEX and NMCE. IndusInd Bank was included in the NIFTY 50 benchmark index on April 1, 2013.

RATINGS

Domestic Ratings:

CRISIL AA + for Infrastructure Bonds program/Tier 2 Bonds

CRISIL AA for Additional Tier 1 Bonds program

CRISIL A1+ for certificate of deposit program / short term FD program

IND AA+ for Senior bonds program/Tier 2 Bonds by India Ratings and Research

IND AA for Additional Tier 1 Bonds program by India Ratings and Research

IND A1+ for Short Term Debt Instruments by India Ratings and Research

International Ratings:

Ba1 for Senior Unsecured MTN programme by Moody’s Investors Service

IIFL Home Finance Limited Signs Agreement with Asian Development Bank for Supporting Green Certified Affordable Housing in India

Agreement for Technical Assistance of $1 million for supporting the green building ecosystem in the affordable housing sector in India

Asian Development Bank’s First Private Sector Agreement in India

1th August 2021, New Delhi: IIFL Home Finance (IIFL HFL), one of India’s leading housing finance company, has signed an agreement with the Asian Development Bank (ADB) for Technical Assistance (TA) to support and foster the green building ecosystem in the affordable housing sector in India. This is ADBs first such private sector agreement in the country.

Thee cost of the activities to be exercised under this TA agreement is approximately $1 million, enabling activities addressing some of the key identified obstacles for building the ecosystem for green certified and affordable housing in India. IIFL HFL shall also contribute an additional amount of up to $150,000, for supporting the above mentioned activities and objectives as described in the TA agreement.

Speaking on the association, Mr. Monu Ratra, ED & CEO - IIFL Home Finance Limited, said, “We look forward to this association with the Asian Development Bank and intend to work towards our common and established goal of sustainable ecosystem, sparking a green affordable housing movement in the country. This initiative will integrate green lending and climate adaptation strategies in the context of affordable housing in India.”

IIFL HFL, through selected independent special consultants and with their Green Value Partners (certified Green Architects), will coordinate, support, direct and monitor the activities under the TA programme through its expertise and knowledge so as to achieve the desired outcome as envisaged.

Activities under the TA include:

1. Promotional Activities: Organizing knowledge programmes for increasing awareness among affordable housing developers, and other stakeholders regarding the climate risk mitigation and adaptation benefits to promote adoption of green certified housing standards in the affordable housing segment.
2. Capacity Building: Organizing training sessions for IIFL HFL’s technical team, staff of state housing boards and housing developers staff on subjects such as site risk assessment, climate adaptation measures and green certification process for climate resilient buildings.
3. Research and Innovation: Undertaking market research initiatives across the entire value chain of climate resilient green housing including -
1. assessing current awareness of prospective buyers and developers and establishing a baseline of consumer understanding
2. formulating a unified green building ratings system to encompass tailored adaptations to the local climate zones of various regions across India
3. establishing a system to integrate green lending and climate adaptation strategies in the context of affordable housing

IIFL HFL has already been propagating green affordable housing in India through its platform ‘Kutumb’, which is a green building initiative addressing the affordable housing projects regarding issues relating to financing, technical know-how of green construction and certification, and ESG compliance.

About IIFL Home Finance:

Incorporated in 2006 and registered in 2009 with National Housing Bank (NHB), IIFL Home Finance Limited is a wholly-owned subsidiary of IIFL Finance Limited. Through their affordable home loans, IIFL Home Finance makes people's aspirations a reality.

As one of the country's leading fintech housing finance companies, IIFL HFL is well-positioned with end-to-end digitized processes, in-house competencies, and customer centricity at its core. IIFL HFL leverages technology, being able to on-board and give loan decision to almost 100% home loan applications, within 25 minutes, through it’s digital tablet based application, enabling enhanced customer experience

The Company’s comprehensive product suite includes small ticket size home loans, secured business loans and affordable housing project loans. With the group network of over 2,500 touch points, efficient technology-led operations and transparent processes, IIFL HFL is well-placed to serve the housing finance needs of marginalized sections of the society. With robust asset quality, ethical business approach and responsible social and environmental practices, the company continues to deliver the best-in-class customer experience.

IIFL HFL’s main focus has been to provide loans to the first-time home buyers in the economically weaker section (EWS) and lower income (LIG) segments in the suburbs of tier 1, tier 2 and tier 3 cities. Salaried and Self-Employed customers account for 44.37% and 55.63% of its Rs. 206,936.87 million AUM as of March 31, 2021, which has grown at a CAGR of 20.64% over the last 5 Fiscal Years. Company has served over 141,000 customers as of March 31, 2021. It’s home loan average ticket size is approx. Rs.1.73 million. Under the PMAY-CLSS scheme, IIFL Home Finance has helped empower over 44,800 customers with more than Rs.10 billion of subsidies as on July 15, 2021. During the uncertain times, the company has shown consistent performance, recording profit after tax (PAT) of Rs.4010.95 million in financial year 2020-21.

Clean Energy Startup Avaada Raises $144 Mn from Asian Development Bank, Others

Delhi-based Avaada Energy Pvt Ltd, a clean & renewable energy startup, has raised $143.7 million/ ₹1,000 crore funding for financing its 2.4 GW renewable energy portfolio from multi-lateral agencies including Asian Development Bank, Germany’s Deutsche Entwicklungs- und Investitionsgesellschaft (DEG), Dutch development bank Netherlands Development Finance Company (FMO).

The capital raised is meant for financing 2.4 GW capacities out of the targeted 5 GW by the company, which will facilitate Avaada's leadership role in India's transition to clean energy and contribution in achieving India's vision of 100 GW of solar energy by 2022, the release said.

Avvada was founded in 2009 by serial entrepreneur Vineet Mittal, who had sold his previous venture, Welspun Energy, to Tata Power for $1.4 billion.

Speaking on recent funding, Mittal, chairman of Avaada Group said, "We are harnessing the power of the sun to ensure sustainable world for future generations. We are targeting an extensive portfolio of 5 GW solar energy projects across Asia and Africa."

Avaada is a leading developer of renewable energy projects with a 5 GW project pipeline across emerging African & Asian countries. Over the next 5 years, the company aims to develop a diversified portfolio of utility scale solar & wind projects, solar rooftop and EPC business.

According to Mercom India's Research report, the total power capacity additions in India were 16.3 GW in 2018 from all generation sources. Of this, renewable energy sources accounted for nearly 70% of installations, with solar representing 50.7% of new capacity and wind with 14%.

To recall, in December last year, Jaipur-based solar power developer and EPC (Engineering, Procurement, and Construction) player, Rays Power Infra had raised Rs 200 crore in mix of debt and equity funding from DMI Finance (DMI), a New Delhi-based Non-Bank Finance Company.

Prior to that, in October, India’s largest independent solar power producers Azure Power had raised around $185 million from Canada's CDPQ, a Quebec, Canada-based institutional investor.

In November 2015, India had initiated International Solar alliance, a congregation of 122 sunshine countries, which lie either completely or partly between the Tropic of Cancer and the Tropic of Capricorn, and now extended to all members of the United Nations. The primary objective of the alliance is to work for efficient exploitation of solar energy to reduce dependence on fossil fuels.

Source - LiveMint, Via ~ Xinhuanet.com

Annapurna Raises ₹137 Cr from ADB, Eying More Financial Support to Rural Women

Annapurna Finance raised INR. 137Cr as primary equity investment from Asian Development Bank (ADB) which will allow the MFI to expand it’s micro-finance portfolio by extending micro-credits to women members of Joint Liability Groups (JLGs). Along with this primary another INR 75 crore of secondary round also happened where existing investors of the company OIJIF, Oikocredit and Bamboo Finance bought shares from early stage investors Incofin Investment and SIDBI Venture capital’s Samriddhi fund.

“We are very excited to partner with another global investor like Asian Development bank. We are at an enlivening juncture, where the business model has been proven and is also scaling well. Annapurna has succeeded to attract renowned global investors portraying its increasing augmentation in this sector. We look forward to leveraging ADB’s experience to strengthen our product and our reach to people in need of financing solutions. This transaction will help us in growing our presence in new asset classes like MSME and Affordable housing” said Gobinda Chandra Pattanaik, Managing Director, Annapurna Finance Private Limited.

“Women, particularly in the rural areas in India, still have difficulty in accessing capital, which limits their potential and prevents them from contributing significantly to inclusive and sustainable growth,” said Paul Flegler, ADB’s Principal Investment Specialist for Private Sector Operations. He further added that, “ADB’s support to Annapurna will expand its lending portfolio, helping ensure that rural women and micro and small enterprises needing capital can have better access to finance.”

Annapurna based in Bhubaneswar have a wide area of micro-finance operations in 277 district across 14 states serving 1.4 million of clients, most of which are women. With a network of closely 500 branches, Annapurna has 85% of its borrowers from rural India. The company’s existing investors include SIDBI, INCOFIN, OIJIF, Belgian Investment Organization, SIDBI Venture Capital, DCB Bank, Oiko Credit, Women’s World banking (WWB) and Bamboo Capital Partners.

Along with group loan products, Annapurna Finance also have individual loan products for disables, Safe water and sanitation, consumer durables and environment friendly energies. Over the last few quarters, Annapurna Finance also diversified it’s portfolio in MSME Finance and Affordable Housing Segment. It has opened 60 branches which are exclusively financing to MSME and Housing segment.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 67 members—48 from the region. In 2017, ADB operations totalled $32.2 billion, including $11.9 billion in co-financing.

Unitus Capital was exclusive financial advisor in this business transaction between Annapurna Finance and ADB. The lawyers involved in the transaction were IC Universal Legal and Trilegal.

“We, at Unitus Capital, are privileged to have had the opportunity to work with Annapurna on this fund raise. They have a robust growth record and a strong focus on business fundamentals. This has helped attract strong investor interest. Unitus Capital is proud to be associated with this transaction and we remain committed to ensure access to capital to the sector,” said Abhijit Ray, Co-Founder & Managing Director, Unitus Capital.

Annapurna Finance Pvt. Ltd is a Non-Banking Financial Company- Microfinance Institution (NBFC-MFI) regulated by Reserve Bank of India. It is promoted by Mr. Gobinda Chandra Pattanaik. It was created for the purpose of growth of the microfinance operation in the areas which are still away from the touch of the formal financial system of the economy and provide livelihood support to the poor households by providing financial and technical support to strengthen entrepreneurial skill for effective and efficient undertaking of business activities.

Top Image - ampl.net.in/success-stories/moyari-shg/

India Asks Asian Development Bank To Invest in FinTech, Health Startups; Asks $4 Bn/Year Support

India on Saturday urged the Asian Development Bank (ADB) to invest in health and fintech startups in the country, to help improve the quality of life in Asia while sharpening focus on infrastructure lending by ensuring loan disbursals within a year of request.

India request ADB to expand its sovereign and non-sovereign operations in the country by providing financial assistance worth $4 billion a year and support its sustainable growth. India also resisted a US proposal for differentiated pricing of multilateral lending based on national income of the agency’s clients.

Economic Affairs Secretary Subhash Chandra Garg, who is leading India’s delegation to Manila, requested ADB president Takehiko Nakao to support India in its endeavor towards an inclusive and sustainable growth accompanied by rapid economic transformation and job creation.

“ADB should invest in innovation and in start ups to help countries produce goods and services using technologies in digital age,” Garg told ADB board members. He also said that the agency should invest in FinTech, HealthTech and other technology-driven sectors through which public services can be delivered to people to improve their quality of life.

"Asian Development Bank should factor in the number of poor people in a country while deciding resource allocation," he added while speaking on the sidelines of ADB's annual board meeting.

The US, which is the largest shareholder in ADB along with Japan, is keen that the World Bank and ADB adopt differentiated pricing of loans that will encourage wealthier countries graduate to market borrowing from multilateral lending.

India, on other hand, is a founding member of the ADB and is currently the fourth-largest shareholder as well as the largest borrower of ADB sovereign lending since 2010. The multilateral lender has so far committed sovereign loans totaling US $35.9 billion to India.

In an another statement, Garg also highlighted the need for taking into account the likely impact technical advancements such as Artificial Intelligence (AI) and robotics, so that ADB can equip the member countries to reap maximum benefit.

Speaking about roles of the World Bank and the Asian Development Bank (ADB) in Indian startup ecosystem, ADB had last gave $390 million financing package to ReNew Power, a Gurgaon-based renewable energy startup, to develop renewable energy projects in India -- in January 2017.

While the World Bank, through its investment arm International Finance corporation (IFC), has already backed quite a few Indian startups like Byju's, Lenskart, Bigbasket and Blackbuck, with ticket sizes upwards of $5 million at Series-B stage and onwards.

Most recently, in last month, Bengaluru-based Lithium Urban Technologies, an electric vehicle (EV) cab provider to corporate sector, had approached IFC for proposed $8 million investment for an equity.

News Via - News18 | References - Gulf Times | Top Image Source ADB@facebook

India Asks Asian Development Bank To Invest in FinTech, Health Startups; Asks $4 Bn/Year Support

India on Saturday urged the Asian Development Bank (ADB) to invest in health and fintech startups in the country, to help improve the quality of life in Asia while sharpening focus on infrastructure lending by ensuring loan disbursals within a year of request.

India request ADB to expand its sovereign and non-sovereign operations in the country by providing financial assistance worth $4 billion a year and support its sustainable growth. India also resisted a US proposal for differentiated pricing of multilateral lending based on national income of the agency’s clients.

Economic Affairs Secretary Subhash Chandra Garg, who is leading India’s delegation to Manila, requested ADB president Takehiko Nakao to support India in its endeavor towards an inclusive and sustainable growth accompanied by rapid economic transformation and job creation.

“ADB should invest in innovation and in start ups to help countries produce goods and services using technologies in digital age,” Garg told ADB board members. He also said that the agency should invest in FinTech, HealthTech and other technology-driven sectors through which public services can be delivered to people to improve their quality of life.

"Asian Development Bank should factor in the number of poor people in a country while deciding resource allocation," he added while speaking on the sidelines of ADB's annual board meeting.

The US, which is the largest shareholder in ADB along with Japan, is keen that the World Bank and ADB adopt differentiated pricing of loans that will encourage wealthier countries graduate to market borrowing from multilateral lending.

India, on other hand, is a founding member of the ADB and is currently the fourth-largest shareholder as well as the largest borrower of ADB sovereign lending since 2010. The multilateral lender has so far committed sovereign loans totaling US $35.9 billion to India.

In an another statement, Garg also highlighted the need for taking into account the likely impact technical advancements such as Artificial Intelligence (AI) and robotics, so that ADB can equip the member countries to reap maximum benefit.

Speaking about roles of the World Bank and the Asian Development Bank (ADB) in Indian startup ecosystem, ADB had last gave $390 million financing package to ReNew Power, a Gurgaon-based renewable energy startup, to develop renewable energy projects in India -- in January 2017.

While the World Bank, through its investment arm International Finance corporation (IFC), has already backed quite a few Indian startups like Byju's, Lenskart, Bigbasket and Blackbuck, with ticket sizes upwards of $5 million at Series-B stage and onwards.

Most recently, in last month, Bengaluru-based Lithium Urban Technologies, an electric vehicle (EV) cab provider to corporate sector, had approached IFC for proposed $8 million investment for an equity.

News Via - News18 | References - Gulf Times | Top Image Source ADB@facebook