Techno Electric to raise R250 cr in PE funding for wind energy arm

Techno Electric & Engineering is in talks with private equity firms to sell a stake in its wind energy subsidiary, Simran Wind Project, for R250 crore, as it looks to bolster its generation capacity, a company executive told FE.

Written by Viraj Nair

November 26, 2012 01:42 IST

Techno Electric & Engineering is in talks with private equity (PE) firms to sell a stake in its wind energy subsidiary, Simran Wind Project, for R250 crore, as it looks to bolster its generation capacity, a company executive told FE.

The power engineering and construction company plans to raise $100 million (R550 crore) for Simran Wind in PE stake sales by 2020 as it plans to set up a total capacity of 1,250 MW, executive director Joy Saxena told FE in an interview.

?We are actively working with three to four PE players right now and hope to have a deal tied up by the end of the year,? Saxena said. By 2020, Techno Electric expects to sell a 30% stake in Simran Wind to PE players, Saxena said.

Saxena said Simran Wind would add 400-500 MW in capacity over the next five years, and could expand by 50-100 MW this financial year if a deal is sorted out soon.

PE funds have been rushing to invest in the industry as India looks to position itself as a major global hub for renewable energy.

This article was first uploaded on November twenty-six, twenty twelve, at forty-two minutes past one in the night.