US International Development Finance Corporation (DFC) and Norfund, which is owned by the Norway government, are likely to participate in the fundraising along with some domestic investors who could collectively pump in funds in a combination of equity and debt in the company, according to the people.
The fundraising is likely to include an equity component of $150 million and the remaining $850 million could be raised by way of loans or debt securities issued to investors, they said.
DFC recently committed around $500 million of financing to Adani Ports and Special Economic Zone’s port terminal project in Sri Lanka. Norfund is an existing investor in SAEL.
ET’s queries to SAEL, DFC and Norfund did not elicit a response till press time.
Delhi-based SAEL, promoted by Jasbir Awla, has established waste-to-energy conversion projects in Haryana, UP, Rajasthan and Punjab and also operates solar power plants. Awla’s other business interests include warehousing and agro-processing. The group diversified into renewable energy generation in the past five years.SAEL uses stubble, which is generated as waste after the rice crop is harvested, and produces energy from the waste. The stubble is usually burnt by farmers which is seen as a major cause of air pollution in northern Indian states. Its total renewable energy generation capacity is pegged at 2.7 gigawatts.
