PE Fund Investments
Tata Cleantech Capital raises $50-M from IFC via sustainability-linked bonds
Tata Cleantech Capital, the green funding focused NBFC arm of Tata Capital has sold sustainability-linked bonds worth USD 50 million (INR 375 crore) to existing equity investor, International Finance Corporation (IFC). The sustainability–linked bonds are the first in the country by a private financial institution and the proceeds will be used to scale up lending towards renewable energy projects and diversify into energy efficiency and e-mobility sectors over the next three years. Sustainability–linked bonds are a capital market instrument, alongside green, social, and sustainable (GSS) bonds to support global sustainable development. These bonds focus on impact and measurable results, going beyond the end-use-focused approach of GSS instruments, and helping organisations improve performance against the tailor-made environment, social and governance targets that also contribute to the UN's climate goals.
From the Venture Intelligence PE-VC Deal Database: Between Apr-13 and Mar-17, Tata Cleantech Capital had raised over USD 33 M from IFC and Tata Capital. Tata Cleantech Capital has also previously attracted debt from IFC as well as BII, FMO and AIIB. (Subscribers to the database can login to view the valuation, deal structuring and other transaction details.)
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