KKR-backed Virescent bags USD 87m from Indian bond sale

Virescent Renewable Energy Trust (VRET), an Indian renewable energy platform backed by global investment firm KKR & Co Inc (NYSE:KKR), said today it has raised INR 6.5 billion (USD 87m/EUR 76.1m) through a domestic sale of non-convertible bonds.

The Mumbai-based company has placed INR 1.5 billion of bonds with a term of 7.33 years and INR 5 billion worth of 10-year bonds. According to the statement, this transaction marks the largest single-series bond issuance with a 10-year tenor by a renewable energy company.

The bond was subscribed by large domestic financial institutions such as India Infrastructure Finance and Aseem Infrastructure Finance.

VRET intends to allocate the fresh capital to finance acquisition-related debt requirements. Those will support the company’s goal to expand its current portfolio of 450 MWp of operational solar capacity.

VRET is India’s first renewable energy infrastructure investment trust (InvIT), with assets spread across Maharashtra, Tamil Nadu, Uttar Pradesh, Gujarat and Rajasthan. In November 2021, the company obtained INR 21.5 billion through a combination of non-convertible debentures, long-term and working capital financing in order to refinance existing debt and support future acquisitions.

(INR 10 = USD 0.134/EUR 0.117)

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