Azure Power to raise $14.3 mn loan from IFC

Company proposes to raise the money to support 40 MW solar PV project in Rajasthan

Helion Venture Partners backed Azure Power India Private Ltd (Azure) capital to raise $14.3 million from International Finance Corporation. The proposed fund raising will support company's proposed 40 MW solar photo voltaic (PV) plant in Rajasthan.

The proposed IFC investment consists of an IFC 'A' Loan of up to $ 14.3 million.

According to project disclosure in IFC website, the money will support company's proposed 40 MW solar power plant in Rajasthan by Azure Power India Private Ltd, an existing IFC client, through a wholly owned subsidiary called Azure Clean Energy Private Limited. The Company has been setup for the purpose of construction, operation, and maintenance of the 40 MW project and will not have any other operations.

The Project is expected to be commissioned in April, 2015. The off-taker will be Solar Energy Corporation of India (SECI), a Government of India entity. The Company plans to sign the Engineering, Procurement and Construction (EPC) and Operations and Maintenance (O&M) agreements for the Project with Azure.

This is a green field project near Hardhani and Nandia Kalan villages in the Jodhpur district of Rajasthan.

The site setting is rural and the proposed project is the first solar plant that will be developed in the area. Azure has plans to develop another 60 MW capacity solar PV plant in the same area, said in the disclosure.

Total land area required for the project is around 140 hectares spread over two contiguous land parcels separated by a public road and includes land for an access road, internal lines, an office/administrative building and a maintenance area.

Azure is an independent power producer which builds, owns and operates solar power plants in India.

The company founded by Inderpreet Wadhwa. Other key investors in Azure include IFC, Helion Venture Partners, Foundation Capital.