+
KPI Green Energy Lists India’s First Credit-Enhanced Green Bond
POWER & RENEWABLE ENERGY

KPI Green Energy Lists India’s First Credit-Enhanced Green Bond

KPI Green Energy Limited, a leading renewable energy developer and operator based in Gujarat, has successfully listed its inaugural green bond worth Rs 6.7 billion on the National Stock Exchange of India. This landmark issuance represents a major advancement for sustainable finance in the Indian renewables sector.
The five-year bond carries an annual coupon of 8.50 per cent with a quarterly amortisation schedule and benefits from a 65 per cent partial guarantee provided by GuarantCo, part of the Private Infrastructure Development Group funded by the governments of the UK, Switzerland, Australia, Sweden, Netherlands, Canada, and France. GuarantCo holds a Fitch rating of AA− and Moody’s rating of A1. This external credit enhancement enabled an AA+(CE) rating from both CRISIL and ICRA, widening the investor base to include long-term domestic institutions such as infrastructure funds, mutual funds, and insurance companies.
Proceeds from the bond will be deployed to expand KPI Green Energy’s solar, wind, and hybrid projects across India. These new initiatives are expected to provide clean electricity to around 210,000 households and businesses annually while avoiding over 344,000 tonnes of carbon emissions each year. This move accelerates India’s clean energy transition and mobilises Rs 6.7 billion of institutional investment beyond traditional banking channels.
KPI Green Energy has already developed 1 GW of renewable capacity and is progressing towards its 10 GW target by 2030. Its project pipeline exceeding 3 GW positions the company as a leading player in India’s renewable energy expansion.
Dr Faruk G. Patel, Chairman and Managing Director, said: “Issuing India’s first externally credit-enhanced green bond reinforces our commitment to powering communities with sustainable energy while diversifying financing avenues. This milestone sets a benchmark for ESG investment and supports the UN Sustainable Development Goals—SDG 7 (Clean Energy), SDG 8 (Decent Work & Growth), and SDG 13 (Climate Action).”
The transaction establishes a precedent for Indian corporates seeking sustainable capital through innovative credit enhancement mechanisms, signalling strong domestic investor appetite for responsible finance. It positions KPI Green Energy to access new liquidity sources and lays the foundation for future fundraising in both domestic and international green finance markets.

KPI Green Energy Limited, a leading renewable energy developer and operator based in Gujarat, has successfully listed its inaugural green bond worth Rs 6.7 billion on the National Stock Exchange of India. This landmark issuance represents a major advancement for sustainable finance in the Indian renewables sector.The five-year bond carries an annual coupon of 8.50 per cent with a quarterly amortisation schedule and benefits from a 65 per cent partial guarantee provided by GuarantCo, part of the Private Infrastructure Development Group funded by the governments of the UK, Switzerland, Australia, Sweden, Netherlands, Canada, and France. GuarantCo holds a Fitch rating of AA− and Moody’s rating of A1. This external credit enhancement enabled an AA+(CE) rating from both CRISIL and ICRA, widening the investor base to include long-term domestic institutions such as infrastructure funds, mutual funds, and insurance companies.Proceeds from the bond will be deployed to expand KPI Green Energy’s solar, wind, and hybrid projects across India. These new initiatives are expected to provide clean electricity to around 210,000 households and businesses annually while avoiding over 344,000 tonnes of carbon emissions each year. This move accelerates India’s clean energy transition and mobilises Rs 6.7 billion of institutional investment beyond traditional banking channels.KPI Green Energy has already developed 1 GW of renewable capacity and is progressing towards its 10 GW target by 2030. Its project pipeline exceeding 3 GW positions the company as a leading player in India’s renewable energy expansion.Dr Faruk G. Patel, Chairman and Managing Director, said: “Issuing India’s first externally credit-enhanced green bond reinforces our commitment to powering communities with sustainable energy while diversifying financing avenues. This milestone sets a benchmark for ESG investment and supports the UN Sustainable Development Goals—SDG 7 (Clean Energy), SDG 8 (Decent Work & Growth), and SDG 13 (Climate Action).”The transaction establishes a precedent for Indian corporates seeking sustainable capital through innovative credit enhancement mechanisms, signalling strong domestic investor appetite for responsible finance. It positions KPI Green Energy to access new liquidity sources and lays the foundation for future fundraising in both domestic and international green finance markets.

Related Stories

Gold Stories

Next Story
Infrastructure Transport

Mumbai-Ahmedabad Bullet Train’s Surat-Vapi Section Set for 2027

The first section of the Mumbai-Ahmedabad Bullet Train corridor, linking Surat and Vapi, is targeted to begin services in 2027. Construction is expected to be completed by December 2026, while Railway Minister Ashwini Vaishnaw has indicated that an inauguration could take place around the middle of 2027. The National High Speed Rail Corporation (NHSRCL) said the train being manufactured in India is expected to reach the tracks around April or May 2027. The train will undergo extensive testing before the section is opened for passenger services. The project began construction in 2021 and includ..

Next Story
Infrastructure Transport

Indian Railways Approves Four Projects Worth Rs. 7.36 bn Across Four States

Indian Railways has approved four projects with a combined value of Rs. 7.36 bn across Uttar Pradesh, Maharashtra, Andhra Pradesh and Gujarat. The programme covers train protection, signalling, electric traction supply and a road overbridge, with each project assigned to a different railway zone. In Uttar Pradesh, Rs. 2.52 bn has been approved to extend the Kavach 4.0 automatic train protection system across 607.7 km in the Lucknow Division of North Eastern Railway. The system monitors train movements and can apply the brakes if a driver fails to observe a signal or exceeds a safe speed. The w..

Next Story
Infrastructure Urban

Chandru Raheja Sells 1.49% Stake in Mindspace REIT for Rs. 5 bn

Billionaire Chandru Lachmandas Raheja has sold a 1.49 per cent holding in Mindspace Business Parks REIT for Rs. 5 bn through a bulk deal on the BSE. The transaction involved 9.9 mn units and was executed at an average price of Rs. 505 per unit, according to exchange data. Following the sale, units of Mindspace Business Parks REIT were trading 0.18 per cent lower at Rs. 504.05 on Tuesday. Exchange data did not identify the buyers involved in the transaction. Raheja is the chairman of real estate company K Raheja Corp. The sale involved 99,00,990 units, representing 1.49 per cent of the Mumbai-b..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code