India’s Mytrah Energy Eyes $185 Million Equity Finance For Solar Power Projects

Positive regulatory and economic environment is helping Indian renewable energy project developers consider raising equity funding at high valuations.

Mytrah Energy, an Indian independent power producer in the renewable energy sector, has announced plans to raise approximately $185 million through equity finance for solar power projects. The company, which has so far been active only in the wind energy sector recently entered the solar power sector.

The company is looking to secure enough funds to achieve financial closure for 380 MW worth of solar power projects over the next 6 to 8 months.

Mytrah Energy claims to have 1,000 MW of renewable energy capacity already under construction, has already achieved financial closure for 680 MW capacity, and is working on the balance 320 MW.

Over the last year, several wind energy companies have similarly announced plans to venture into the Indian solar power sector. With an installed capacity target of 100 GW for solar power, compared to 60 GW for wind energy, by 2022, solar power in India certainly offers more opportunities for growth.

Suzlon Energy, one of India’s largest wind energy solutions provider, recently participated in a 500 MW auction under the National Solar Mission. Goldman Sachs-backed ReNew Power Ventures also shifted from a wind-only strategy to successfully enter the solar power market.

Gamesa India has been the largest original equipment manufacturer in India’s wind energy sector for the last two years. Recently, the company commissioned its first solar power project in a southern Indian state.

Mytrah Energy is backed by some of the leading funds globally — Goldman Sachs, Apollo Funds, and Merrill Lynch International are all among the groups that have invested in the company. Mytrah Energy Limited was listed on the AIM segment of the London Stock Exchange in 2010 raising $80 million from institutional investors such as Capital Group, BlackRock, and Henderson. Since then, the company has raised about $570 million in debt to fund wind energy projects.