ACME Solar Completes Rs 21.47 bn Refinancing and Cuts Costs
POWER & RENEWABLE ENERGY

ACME Solar Completes Rs 21.47 bn Refinancing and Cuts Costs

ACME Solar Holdings Limited has completed a domestic refinancing worth Rs 21.47 billion (Rs 21.47 bn), strengthening its financial position and improving the long-term capital structure of its operational solar portfolio. The refinancing enabled full redemption of existing non-convertible debentures and the underlying offshore dollar bonds issued under its restricted group (RG) structure. The transaction covers twelve operational special purpose vehicles (SPVs) with a combined capacity of 450 megawatt (MW).

With the completion of this refinancing, the company’s total financing raised during the current financial year has reached Rs 81.98 billion (Rs 81.98 bn), highlighting continued access to institutional funding for its renewable portfolio. The RG structure includes operational solar projects, with 56 per cent of cumulative capacity contracted with central utilities such as the Solar Energy Corporation of India and NTPC. The remainder is contracted with various state-level off-takers.

Reflecting the operating performance and financial profile of the assets, CARE Ratings has provisionally assigned an AA- credit rating to the structure. The long-term refinancing has been secured from the National Bank for Financing Infrastructure and Development (NaBFID). The company said the refinancing is expected to reduce borrowing costs by around 150 basis points across the issuing SPVs.

The lower interest burden is expected to improve project-level cash flows and provide greater financial flexibility over the long term. ACME Solar has an overall renewable energy portfolio of 8,070 megawatt (MW) across solar, wind, energy storage and hybrid projects, including 2,990 megawatt of contracted capacity and 3.62 gigawatt hour (GWh) of battery energy storage capacity. Another 5,080 megawatt is under construction as the company continues to develop and operate projects through integrated engineering, procurement, construction and operations capabilities.

The refinancing and strengthened balance sheet are positioned to support expansion of India’s clean energy infrastructure and to underpin delivery of projects in the pipeline. The company continues to focus on executing contracted assets and progressing construction to meet growing demand for renewable generation and storage.

ACME Solar Holdings Limited has completed a domestic refinancing worth Rs 21.47 billion (Rs 21.47 bn), strengthening its financial position and improving the long-term capital structure of its operational solar portfolio. The refinancing enabled full redemption of existing non-convertible debentures and the underlying offshore dollar bonds issued under its restricted group (RG) structure. The transaction covers twelve operational special purpose vehicles (SPVs) with a combined capacity of 450 megawatt (MW). With the completion of this refinancing, the company’s total financing raised during the current financial year has reached Rs 81.98 billion (Rs 81.98 bn), highlighting continued access to institutional funding for its renewable portfolio. The RG structure includes operational solar projects, with 56 per cent of cumulative capacity contracted with central utilities such as the Solar Energy Corporation of India and NTPC. The remainder is contracted with various state-level off-takers. Reflecting the operating performance and financial profile of the assets, CARE Ratings has provisionally assigned an AA- credit rating to the structure. The long-term refinancing has been secured from the National Bank for Financing Infrastructure and Development (NaBFID). The company said the refinancing is expected to reduce borrowing costs by around 150 basis points across the issuing SPVs. The lower interest burden is expected to improve project-level cash flows and provide greater financial flexibility over the long term. ACME Solar has an overall renewable energy portfolio of 8,070 megawatt (MW) across solar, wind, energy storage and hybrid projects, including 2,990 megawatt of contracted capacity and 3.62 gigawatt hour (GWh) of battery energy storage capacity. Another 5,080 megawatt is under construction as the company continues to develop and operate projects through integrated engineering, procurement, construction and operations capabilities. The refinancing and strengthened balance sheet are positioned to support expansion of India’s clean energy infrastructure and to underpin delivery of projects in the pipeline. The company continues to focus on executing contracted assets and progressing construction to meet growing demand for renewable generation and storage.

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