Virescent Infrastructure, a renewable energy platform backed by global asset manager KKR & Co, is looking to raise Rs 425 crore for its solar power assets in India.
To do so, it has filed a draft placement memorandum with the securities regulator to list its infrastructure investment trust or InvIT -- Virescent Renewable Energy Trust.
Mumbai headquartered Virescent currently manages 394.35 megawatt (MW) of solar assets in Maharashtra, Gujarat, Rajasthan, Uttar Pradesh and Tamil Nadu.
In May, Virescent acquired 76 MW of India solar assets of Singapore-based Sindicatum Renewable Energy.
In April 2020, KKR acquired five solar energy assets from Shapoorji Pallonji Group for Rs 1,554 crore with a capacity of 169 MW in Maharashtra and 148 MW in Tamil Nadu.
In October last year, the PE giant announced the launch of Virescent Infrastructure and housed those five assets under the company.
Then in February 2021, Virescent Infrastructure floated a private InvIT and placed 400 MW solar assets under a private trust. At the time, it said that it expected to achieve 1.5 gigawatt (GW) of assets in the next three years.
Crisil had assigned a provisional ‘AAA/stable’ rating for the bank loan of the trust.
The trust will use Rs 349.5 crore of the net proceeds from the listing to repay a part of Virescent Renewable’s outstanding external borrowing of Rs 934.5 crore.
The remaining proceeds will be paid to Sindicatum as part of a holdback milestone payment, in addition to what KKR paid it last year, and for general corporate purposes.
Axis Capital is the lead manager and Shardul Amarchand Mangaldas & Co is the legal advisor for the InvIT issue.