General Insurance Corporation (GIC) and Abu Dhabi Investment Authority (ADIA) have signed an agreement to invest $495 million as primary equity in Greenko Energy Holdings (Greenko), a renewable energy project developer.
The investment will fund Greenko’s objective to provide round-the-clock renewable power by installing two 1.2 GW storage projects in Pinnarpuram and Saundatti, located in the states of Andhra Pradesh and Karnataka, respectively. The date of conclusion for the projects is estimated to be 2022, with a capital outlay of $2 billion.
GIC will retain its position as the main shareholder in Greenko. Greenko’s primary installations are in the wind, solar and hydro with a combined capacity of 4.2 GW. This combined with the new storage projects and a 24/7 renewable power strategy is propelling their vision to completely steer away from fossil fuels.
A year ago, Greenko raised primary equity of $447 million from an affiliate of GIC and the ADIA. Greenko has also taken the acquisition route to expand their portfolio. In 2018, Greenko Group forged a definitive purchase agreement for the acquisition of Skeiron Green Renewables. This was preceded by the deal where Greenko acquired around 907 MW of operational solar and wind projects from Orange Renewables.