Vector Green Energy, a portfolio company of India Infrastructure Fund-II, managed by IDFC Alternatives, has announced it has closed financing of two solar farms in Telangana.

This is a part of its acquisition of projects aggregating 223 MW from FirstSolar.

Financing Along with the acquisition, the special purpose vehicle (SPVs) has also raised long-term, non-recourse financing from IndusInd Bank and L&T Infra Debt Fund to refinance the existing project lenders.

IIB and L&T Finance have together sanctioned more than ₹1,000 crore to Vector Green towards the acquisition of FirstSolar portfolio.

Vector Green is currently working on acquiring another 240 MW of operating capacity from different owners. The binding agreements for these capacities have already been executed and IIF-II expects to complete the acquisitions by March.

Once completed, Vector Green’s operating base would expand to 350 MW. The capacities being aggregated are managed by a 15-member central team at Vector Green’s Mumbai office.

Aditya Aggarwal, Partner, IDFC Alternatives, said in a statement: “Consistent with our stated strategy of aggregating operating renewable assets, we are continuing to target high-quality, cash-generating and operating renewable assets, with the aim of expanding to 500-600 MW of operating capacity by the end of 2018.”

IDFC Alternatives is one of India's largest alternatives fund manager with AUM of $3.4 billion. It is a wholly owned subsidiary of IDFC Ltd. India Infrastructure Fund II has established Vector Green Energy Pvt Ltd as the operating-cum-holding company for its control investments in the renewable energy space.

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