Proparco provides a new funding for the development of renewable energies in India
The Indian Company, Srei Equipment Finance Limited (“SEFL”) registered as non-banking financial institution has signed a Credit Facility Agreement for 27 million euro loan from Proparco to finance renewable energy or energy efficient projects in India.
SEFL was incorporated in the year 2006 and is a market leader in the Construction, Mining and allied equipment ("CME") finance space. SEFL enjoys a pan India presence with 89 branches and 4 offices. As of 30 September 2017, its assets under management reached INR 265.25 billion.
This loan reflects the continuous support brought by Proparco to renewable energy in India, which represents over 50% of its cumulative commitments by end of 2017. The parent company of SEFL, Srei Infrastructure Finance Limited, also received a 20 million euro loan from Proparco in 2009 to finance renewable energy projects. It was fully reimbursed in October 2017.
Commenting on this transaction, Grégory Clemente, Proparco CEO, said “Proparco is very satisfied to strengthen its partnership with the SREI Group and to support India’s ambitious policy of renewable energy development”.
Mr. Devendra Kumar Vyas, the CEO of SEFL, added: “We are happy to get the funding from Proparco, one of the leading European Development Finance Institutions. The funding reinforces our resolve to accomplish sustainable business growth by financing green technologies, and equipment which have a minimal environmental footprint.”
Proparco is a subsidiary of Agence Française de Développement (AFD) focused on private sector development. It has been promoting sustainable economic, social and environmental development practices for 40 years. Proparco provides funding and support to both businesses and financial institutions across Africa, Asia, Latin America and the Middle-East. It seeks to partner projects in key development sectors – infrastructure (with a specific focus on renewable energies), agribusiness, financial institutions, healthcare and education, etc. – and to boost the contribution of the private sector to achieving the sustainable development goals adopted by the international community in 2015. As a means to this end, Proparco finances businesses that are instrumental in creating decent jobs that pay decent wages, in supplying essential goods and services and in battling climate change.
For more information, go to: www.proparco.fr
Srei Equipment Finance Limited, a wholly owned subsidiary of Srei Infrastructure Finance Limited, is an industry leader in the Construction, Mining and allied equipment ("CME") finance space, with an approximate market share of 32.7% in fiscal 2017. The company enjoys a pan India presence with 89 branches and 4 offices. SEFL has an experienced management team having significant expertise in the financial services sector. The company has assets under management ("AUM") of Rs 26,525 crore as of September 30, 2017.