China’s Hareon Solar enters India with PE backing

Shanghai-based Hareon Solar Technology Company Ltd intends to set up 150 MW of solar power plants in India in the next two years.

This will be achieved in “partnership” with Nereus Capital, a US-based, India-focused private equity firm, the company said. No more details of this partnership have been disclosed.

Earlier this month, Hareon had said it would establish a subsidiary in India to invest in solar photovoltaic projects.

Hareon, unlike its compatriots such as Yingli, Trina and Canadian Solar, doesn’t sell its products in India.

It is one of the large fully-integrated solar module manufacturing companies of China, with a capacity to produce 1,000 MW of modules a year.

Nereus Capital, the India arm of the US-based Northern Lights Capital Group, runs the Indian Alternative Energy Fund. In June last year, Northern Lights Capital announced that it would invest $100 million in the Indian renewable energy sector.

The US Agency for International Development has given a credit guarantee for 40 per cent of the fund.

“India is a market of very high potentials,” Jie Zhang, Vice-President, Global Business Development, Hareon Solar, has said in a press release.

Hareon will set up an Indian subsidiary, Hareon India Pvt Ltd, based in New Delhi to run its operations in the country.

“The company will seek business opportunities in large-scale grid-connected PV projects as well as the telecom and residential market segments. Hareon India will leverage its strong relationships with well-established local partners,” the release said.

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