Brookfield to invest up to $550 million in Leap Green Energy

Brookfield to invest up to $550 mn in Leap Green Energy

Canadian investor Brookfield plans to invest up to $550 million in Leap Green Energy, a Tamil Nadu-based company focused on providing clean energy solutions to commercial and industrial (C&I) customers, the investor said in a press release on July 11.

Brookfield has provided an upfront commitment to making an equity investment of over $200 million in Leap Green, through a combination of subscription of new shares and acquisition of shares from current shareholders. Additionally, Brookfield has an option to infuse $350 million more of incremental equity capital to support the future growth of the business.

Brookfield will work alongside the company’s existing shareholders to grow the platform beyond 3 GW over the next four to five years.  Leap Green's current asset base stands at approximately 775 MW.

Brookfield’s investment will be made through the Brookfield Global Transition Fund I (BGTF I), which focuses on investments that accelerate the global transition to a net-zero carbon economy while delivering strong risk-adjusted returns to investors.

“Our partnership provides an important opportunity to meet the demand in the C&I segment and deliver outcomes where decarbonisation and value creation are in total alignment. We remain committed to helping corporates in reducing their carbon footprint and positively impacting the environment,” Nawal Saini, managing director and head of renewable power and transition for South Asia and the Middle East at Brookfield, said.

Brookfield is one of the world’s largest investors in renewable power, with approximately 33 GW of generating capacity and a development pipeline of over 155 GW. Its assets are located in North and South America, Europe, and Asia Pacific and comprise a diverse technology base of hydro, wind, utility-scale solar, distributed generation, storage, and other renewable technologies.

In India, Brookfield’s renewable power and transition portfolio comprises over 25 GW of wind and solar assets in operation, construction and development.