Suryachakra Power Corporation Ltd, a Hyderabad-based company is raising equity investment for the clean energy vertical that it has formed with the consolidation of three of its group companies.
The power company's clean energy vertical- Lahari Power & Steels Ltd (LPSL) - formed as a 100% subsidiary and a second level holding company of Suryachakra Power, will consolidate three group companies in renewable energy space such as MSM Energy, South Asian Agro Industries and Sri Panchajanya Power.
The move helps the company get equity investment of an undisclosed sum from Climate Change Investment II SA for over 26% stake in LPSL.The investment came at a time when global leaders meet at Copenhagen climate change summit to discuss carbon emission reduction strategies in developed and developing countries.
Climate Change Investment II, a Euro 39 million ( nearly $57.5 million) Luxembourg-based fund is looking for investments in the growing carbon markets. The company invests as a private placement of shares to generate long-term capital growth for investors through two of its funds - Climate Change Investment I and Climate Change Investment II.
The funds have made some significant investments across Asia, Africa and Latin America. Apart from equity investments, First Climate, the parent company of the funds, also formed a joint venture in India with Verde Consulting Pvt Ltd (VCPL) through First Climate AG, an integrated carbon asset management company to manage carbon emission reduction projects in India.