Hyderabad-based solar cell and module manufacturer, Premier Energies, has raised Rs 200 crore from GEF Capital Partners, a global private equity manager. Premier’s plan is to invest Rs 1,200 crore over the next two years to raise its manufacturing capacity.
The equity capital will be utilised to add 2 gigawatt (GW) of cell and 2 GW of module manufacturing capacity based on the latest monocrystalline PERC technology.
“The timing of the investment is critical for us to capitalise on the huge growth potential presented by the industry,” said Surender Pal Singh, chairman, Premier Energies in a media release.
GEF Capital is a private equity fund firm focused on investing in climate solutions. It was spun out of US-based Global Environment Fund Capital Advisors in 2018, as an investment manager to develop Global Environment Fund’s middle-market and growth equity investment programmes in North America, South Asia, and Latin America.
Currently, India’s solar cell manufacturing sector has been attracting attention from investors mainly due to progressive government initiatives.
“Premier Energies has demonstrated a strong commitment to deploying the latest technology to address the challenges of climate change. We plan to build a world-class solar manufacturing business with this partnership,” said Sridhar Narayan, a founder of GEF Capital and managing partner of the South Asia investment programme.
According to the company statement, Premier is the second-largest integrated solar photovoltaic cell and module manufacturer in India and has completed 25 years of operations in 2020.
It provides solar power solutions to organisations across India and 30 countries in Europe, Africa, and Asia. In July this year, the solar manufacturer had launched its new facility at E-City Hyderabad with a capacity of 750 megawatt (MW) solar cells and a 750 MW solar module that produces multi-crystalline, mono PERC, and polycrystalline cells and modules. The capital infusion will also go towards expansion plans of its facility at E-City.