hero groupand KKRannounced a $450 million investment in the company’s renewable energy arm, Hero Future Energies.
- Place this investment,
HFEis valued at $1 billion.
- HFE currently has an operational renewable energy capacity of 1.6 GW and operates in five countries except India.
Hero Group and US private equity firm KKR have announced a $450 million (approximately ₹3,600 crore) investment in Hero Future Energies (HFE), the company’s renewable energy arm.
“HFE’s clean energy solutions play an important role in helping businesses to become decarbonised as energy demand continues to grow. We look forward to working closely with HFE’s management team and existing investors, including the Hero Group and IFC, to help HFE reach its next stage of growth and contribute to energy transition efforts in India and globally,” he said.
KKR is not the first to invest in HFE. Previously, International Finance Corporation and Abu Dhabi Future Energy (aka Masdar) jointly acquired a 20% stake in HFE for $150 million, valuing the company at $750 million. KKR’s investment boosts HFE’s valuation to $1 billion.
“With this investment, Hero Future Energies will work to accelerate India’s energy transition and contribute to the Indian government’s goal of generating half of the country’s power from non-fossil fuels by 2030,” the organization said. .
Since 2011, KKR has invested more than $15 billion in several renewable energy companies, with an operational capacity of 23 GW at the end of 2021.
HFE says it plans to use the $450 million investment for grid-connected solar and wind projects, in addition to energy storage and green hydrogen solutions.
Bank stock rally continues as credit growth picks up and margins boost
Story in Charts: How Indian Equity, Gold and Debt Investments Have Performed Over the Past Two Decades
Despite inflation, 8 out of 10 people plan to increase health and wellness spending: Accenture report