Sustainable Energy Infra Trust (SEIT), an infrastructure investment trust (InvIT) in the renewable energy space, has raised primary capital of Rs.1,365 crore and has made its debut listing on the National Stock Exchange of India on January 15, 2024.
SEIT, co-sponsored by Mahindra Group and Canada-based Ontario Teachers’ Pension Plan Board, is believed to be India’s largest InvIT in the renewable energy space. As part of its initial offer of units, SEIT raised Rs.1,365 crore from global and domestic investors, including Asian Infrastructure Investment Bank (AII), a release from Mahindra Group said.
SEIT holds operational renewable power assets seeded by Mahindra Susten with a generation capacity of approximately 1.54 GWp. The capital of Rs.897.8 crore ($108 million), made available to Mahindra Susten by way of an offer for sale of units of SEIT as a part of the initial offer of units, will position Mahindra Susten for the next level of growth and development of a future pipeline of renewable energy assets, the release said.
Right of First Offer
Mahindra Susten and SEIT, as a part of their growth strategy, have entered into a Right of First Offer (ROFO) arrangement, in compliance with InvIT Regulations, whereby renewable energy assets developed by Mahindra Susten will be offered for sale to SEIT.
Both Mahindra Group and Ontario Teachers’ have committed to invest up to Rs.3,050 crore ($368 million) and Rs.3,550 crore ($428 million) respectively into Mahindra Susten and SEIT, the release added.
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Featured photograph (source: Mahindra Susten) is for illustration only.
