ACME Solar Holdings Ltd has secured INR 4,725 crore in debt financing from leading Indian financial institutions. The funds will support the construction of renewable energy projects and optimize capital structure by reducing financing costs. This includes new greenfield projects and refinancing existing debt, with tenors ranging from 18 to 20 years. The company is expanding its banking base through this strategic financial initiative.
New Financing Secured
ACME Solar Holdings Ltd has successfully secured debt tie-ups of INR 4,725 crore through its subsidiaries. The financing aims to fund renewable energy project construction and refine capital structure through cost reduction. The financing and refinancing spans 18 to 20 years for key projects.
Greenfield Project Funding
A total of INR 2,716 crore is allocated from Power Finance Corporation Ltd (PFC Ltd) for the 300 MW ACME Sigma FDRE project, which includes renewable energy with four hours of battery storage. Additionally, INR 800 crore is provided by National Bank for Financing Infrastructure Development (NaBFID) for the 150 MW ACME Platinum Solar + ESS project, featuring two hours of battery storage at 50% availability. Both projects have established connectivity and are in advanced stages of construction.
Refinancing Initiatives
ACME Solar has secured INR 1,209 crore from Yes Bank to refinance the operational 300 MW ACME Sikar Solar project. This refinancing is set to reduce the cost of debt initially by 170 bps, with potential reductions up to 195 bps. This marks the first long-term refinancing from Yes Bank for ACME Solar.
Overall Financial Strategy
In the current financial year, ACME Solar has secured approximately INR 10,590 crore in greenfield financing, covering over 90% of PPA-signed under-construction projects. They have also refinanced about INR 3,380 crore, achieving rate reductions of about 135 bps. Further rate reductions of about 60 bps were achieved on debt of about INR 4,035 crore for other projects, including two operational projects transitioning to fixed-rate regimes. This approach aligns with the company’s strategy to maintain a diversified mix of fixed and floating rate borrowings.
Non-Fund Based Limits Expansion
ACME Solar has also increased its non-fund-based limits from various banks, including ICICI Bank, Standard Chartered Bank, First Abu Dhabi Bank, and EXIM Bank. These limits are designed to assist in reducing debt costs during project construction phases.
Company Portfolio
ACME Solar Holdings Limited is an integrated renewable energy player with a diversified portfolio, including solar, wind, storage, FDRE, and hybrid solutions. The company’s total renewable portfolio stands at 7,520 MW, with an operational capacity of 2,942 MW and a construction capacity of 4,578 MW, including approximately 15 GWh of BESS installation. The company’s PPA Signed Capacity is 5,380 MW.
Source: BSE