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NEEV Fund invests in Punjab Renewable Energy Systems

India produces over 145 million tonnes of surplus biomass every year, which is usually burnt in the fields resulting in major air pollution

BS Reporter  |  New Delhi 

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Neev Fund, backed by SBICAP and UK Government’s Department for International Development (DFID), has announced a private equity investment of US$ 5 Million in Pvt. Ltd. (PRESPL). Intellecap served as the investment banker for the deal.

The investment will be utilised by PRESPL for business expansion in underdeveloped states and regions of the country in the area of biomass supply chain to enable safe and sustainable environment.

Pvt Ltd (PRESPL) is an end-to-end biomass value chain management company involved in collection, processing, storage and supply of biomass (agri- residues) such as paddy straw, cotton-stalk, soya-husk, maize-cob, mustard stalk etc. to biomass-based power plants and process industries such as pharmaceuticals, Distilleries, etc. The company provides bio-mass as a raw material to clients for energy or conversion into biofuels. It is a dominant player in the bioenergy supply chain management industry with experience to handle a supply of over 1,000 MT/day.

On this funding from Neev Fund, Lt. Col. Monish Ahuja (Retd), Managing Director, PRESPL said, “We are pleased to be associated with the as this will help us scale the business and expand into other geographies – especially India’s less developed states. We particularly welcome Neev’s laser sharp focus on ESG aspects of business that will help us grow the company into a world class institution. We are confident that with this investment, we will be able to maintain our leadership position in biomass supply chain and make a significant positive impact to climate change.”

India produces over 145 million tonnes of surplus biomass every year, which is usually burnt in the fields resulting in major air pollution.

Speaking on this investment, Manav Bansal, Chief Investment Officer, said, “Surplus biomass can be used by power plants to produce power and new generation refineries to produce bio-ethanol, however continual availability of biomass remains a challenge. PRESPL will address this market barrier by guaranteeing biomass supply throughout the year by empowering Village Level Entrepreneurs (VLEs) and farmers. This ties closely with Neev Fund’s vision for development as, this investment not only benefits the farmers as they receive additional income but also addresses the key issue of air pollution due to burning of agri residue.”

PRESPL’s farm-to-fuel proposition strengthens the clean energy focus for the fund. This will be the tenth investment for SBI and DFID backed and fourth in the clean energy sector.

Gagandeep Bakshi, Director & Head – Investment Banking, Intellecap, said “As the country is moving towards clean energy, we at Intellecap, have seen a lot of consolidation in the biomass space over the last few years and feel there is a huge potential to create more demand in the coming years as well. We are glad that we could be associated with this collaboration.”

Intellecap is a pioneer in providing innovative business solutions that help build and scale profitable and sustainable enterprises dedicated to social and environmental change.

First Published: Tue, March 05 2019. 18:06 IST