New Delhi, Dec. 3 -- Apraava Energy, the Indian joint venture of Hong Kong-based CLP Group and Canadian pension fund CDPQ, said Wednesday it has raised Rs 800.9 crore ($92 million) from the UK government's development finance institution British International Investment (BII) and Standard Chartered.
BII and Standard Chartered will provide $46 million each, Apraava said in a press release. It didn't specify whether the capital is in the form of debt or equity. While StanChart is one of the largest foreign lenders operating in India, BII makes both debt and equity investments in the country.
"Our support for the company will drive improvements in grid efficiency, enhance service quality, and contribute to reductions in greenhouse gas emissions," saisd Shilpa Kumar, managing director and head of India at BII.
Apraava said it will use the financing to expand its presence into India's smart metering and energy transition market. The money will help it install more than 2 million smart meters in homes and businesses.
The latest transaction comes as the Indian power sector strives to enhance efficiency, reduce distribution losses, and drive sustainability through the installation of millions of smart meters across the country. Apart from Apraava, many other companies have entered the smart metering business. These include Polaris, which is backed by private equity firm I Squared Capital; and Genus Power, which is backed by Singapore sovereign wealth fund GIC.
Apraava was started in 2002 and was previously known as CLP India Pvt Ltd. In 2018, CDPQ acquired a 40% stake in the company. It was rebranded in 2021. CDPQ bought an additional 10% stake in the company in 2022.
Published by HT Digital Content Services with permission from VC Circle.