Rooftop solutions firm MYSUN ties up with TATA Cleantech Capital to raise Rs 15 crore for solar portfolio expansion
With the term loan, MYSUN is aiming to fund the existing projects of MYSUN+, while the credit line will be used to develop its pipeline projects.
July 20, 2021 / 03:50 PM IST
Image: Jitendra Parihar (Thomson Reuters Foundation)/Flickr
Leading rooftop solutions company MYSUN on July 20 announced that it has tied up to raise Rs 15 crore in debt funding from TATA Cleantech Capital Ltd (TCCL). The TCCL debt finding is a joint venture between Tata Capital Limited (TCL) and Washington-based International Finance Corporation (IFC).
Recently, MYSUN has launched its solar asset vehicle MYSUN+ to develop solar projects under the distributed and open access models with an investment of Rs 600 crores in the first phase. With the term loan, MYSUN is aiming to fund the existing projects of MYSUN+, while the credit line will be used to develop its pipeline projects.
ALSO READ: Ceat ties up with Tata Power to set up captive solar plant for Mumbai facility
"We have got a very promising traction in our new launched asset vehicle MYSUN+ and this funding from TCCL will help us de-leverage our equity capital and develop a larger pipeline of projects. Over the next few quarters, we are looking to develop about 200MW of projects which are currently at various stages of development,” MYSUN founder & CEO Gagan Vermani said.
Vermani added that his firm witnessed robust demand for clean and affordable solar power despite the pandemic situation. According ho him, the demand is expected to exponentially grow.
"We are actively looking at EV charging and some newer product lines too. Our unique online customer awareness and acquisition platform coupled with highly digitized demand aggregation tools provide us access to hundreds of thousands of new clients every month," Vermani said.
MYSUN claims to rapidly growing its presence across different markets and is already present in 9 states including Rajasthan, Maharashtra, Uttar Pradesh, Gujarat, Madhya Pradesh and Andhra Pradesh along with the National Capital Region.
Meanwhile, TCCL is the first private sector company globally to partner with Green Climate Fund (GCF) to develop solar rooftop market through $100 million credit line. This term loan and credit line raised by MYSUN forms a part of this GCF Facility.
"TCCL has an active solar rooftop funding program which aims to mainstream financing in this segment. We are already assisting multiple entities in adoption of rooftop solar systems. Our partnership with MYSUN gives us the opportunity to further accelerate India’s energy transition. Rooftop solar represents only 11% of total solar installation in India which is significantly lower than the targeted 40% share and TCCL aims to bridge the gap to decarbonize energy consumption. TCCL is the first private climate finance institution in emerging economies and committed to develop sustainable ecosystem for the future.” TCCL's MD Manish Chourasia said.