Zelestra, formerly known as Solarpack, has successfully secured a financing package amounting to €132 million (approximately $146 million) for a 453 MWdc solar photovoltaic project located in Gorbea, Rajasthan. This project is set to supply power to the Solar Energy Corporation of India (SECI) for a period of 25 years.

The financing agreement was established with several financial institutions, including HSBC, Credit Agricole, MUFG, and Bank of America. It is projected that the solar project will generate enough annual energy output to power over 128,000 households in India, while also contributing to the avoidance of approximately 13.3 million tons of carbon emissions throughout its operational lifetime.

Zelestra secured the 300 MW solar project during SECI’s auction in June 2020, achieving a record-low tariff of ?2.36 (around $0.0313) per kWh at that time. The company currently has 1.5 GW of projects either in operation, under construction, or signed, contributing to a total portfolio of nearly 5 GW. Additionally, Zelestra has 25 GW of carbon-free projects across 13 countries.

The financing for the Gorbea project is classified as green financing under Zelestra’s Green Financing Framework, which adheres to the Green Loan Principles established by the Loan Market Association. Zelestra focuses on the development, commercialization, construction, and operation of large-scale renewable energy projects.

Sajay K.V., CEO of Zelestra India, remarked that the Gorbea project marks the beginning of their ambitious growth strategy in India and underscores their role as a dependable partner for customers. He added that the company is dedicated to expanding its presence in India and offering diverse energy solutions that align with the country's requirements.

In a related development, in May, HSBC India provided a sustainable trade facility of ?600 million (approximately $7.1 million) to Jakson Green, the renewable energy division of the Jakson Group. This trade facility is intended to support the operational needs of the company within the renewable energy sector, both in India and internationally.

In July, it was reported that total corporate funding in the global solar sector reached $16.6 billion in the first half of 2024, including venture capital, private equity funding, public market, and debt financing. This figure represents a 10% decrease compared to $18.5 billion in the same period the previous year. However, the number of deals increased by 9%, with 87 transactions recorded in the first half of 2024, up from 80 in the first half of 2023, according to Mercom Capital Group’s recently released Solar Funding and M&A Report for the first half and second quarter of 2024.