According to reports, Acme Energy will raise around $50 million from International Finance Corporation (IFC). The proposed fund raising is to support company’s plan to develop a 25 MW solar plant in Madhya Pradesh.
According to IFC, it is considering an overall senior debt facility of $50 million for various solar power farms to be developed over the next two years by Acme Solar.
Out of the $50 million facility, a local currency A loan of approximately $12.5 million-equivalent is proposed for ACME Solar Energy (Madhya Pradesh) Private Limited to develop the 25 MW Madhya Pradesh project, which is expected to cost around $36 million, said the project disclosure.
The proposed project involves a multi-level engagement and partnership with Acme Solar Energy Private Limited (ACME Solar), a holding Company founded by ACME Tele Power to develop, construct and operate solar generation assets in India.
The money will be used over the next few years for various projects that ACME Solar is developing. The first tranche of this financing is expected to be provided to ACME Solar Energy (Madhya Pradesh) Private Limited (ASEMPPL), a subsidiary of ACME Solar established to develop a 25 MW grid connected solar photovoltaic power plant in Madhya Pradesh.
ASEMPPL has entered into a 25-year power purchase agreement (PPA) with MP Power Management Company and is estimated to supply 50 GWh per year. The deadline for commissioning is November 2013.
Other projects that ACME Solar is developing, which IFC may consider for financing under the facility include solar projects in Odisha and Andhra Pradesh.
Over the last two years, Acme Solar has established a track record by developing a 15MW photovoltaic plant in Gujarat and a 2.5 MW solar thermal plant in Rajasthan.
By April 2013, ACME Solar is expected to be held 50% by Acme Cleantech Solutions Private Limited, 25% each by EDF Energies Nouvelles (EDF EN) and Société Internationale d’Investissements Financiers ENR (SIIF ENR).
Its main company is ACME Tele Power Ltd (ATP), a leading provider of energy conservation and energy management solutions to leading telecom operators, including Bharti Infratel Ltd. (Airtel), Indus Towers, Vodafone, Aircel, Idea Cellular, Tata Teleservices and Reliance Communications.