Clean energy company Greenko is gearing up to raise up to $1 billion by offer of offshore bonds to refinance its debt and fuel its expansion plans.
The Hyderabad-based company, Greenko Energy Holdings, which has a pipeline of about one gigawatt capacity projects to be taken up, plans to deploy the funds raised to refinance debt and fuel new plans.
Asked about the proposed bond offer, a company official refrained to comment stating that this was a silent period.
The company, which is backed by GIC, the Singapore government sovereign wealth fund and Abu Dhabi Investment Authority, had acquired Indian assets (both completed and under implementation) of the bankrupt renewable energy company SunEdison. It will use the proceeds raised through offer of green bonds to part discharge its debt commitments which it added due to acquisition of SunEdison assets. Some of the projects, including a 500 MW solar plant near Kurnool in Andhra Pradesh, has since been completed.
The Green Bonds, slated to open early next week, will strengthen the already existing portfolio of operating capacity of 2,500 MW and a pipeline of another 800-1,000 MW.
Last year too, the company, managed by Mahesh Kolli and Anil Chalamalasetty, had raised close to ₹3,000 crore from sovereign funds in Singapore and Abu Dhabi.
Moody’s had on Monday assigned stable rating to the proposed 7-year $950 million unsecured notes of Greenko Dutch BV, a special purpose vehicle which will use the proceeds to subscribe to non-convertible debentures issued by some subsidiaries.
According to the agency, the proceeds of the NCDs will be used to refinance the existing debt, project finance debt and loans associated with operating projects.
The SPV is likely to undertake a hedging programme to manage the dollar/ rupee exchange rate movements.
Deloitte has presented a report on its projections based on the recent engagement by Greenko of Barclays Bank PLC, Deutsche Bank, Investec Bank, JP Morgan, Morgan Stanley, for the proposed offer.