Techno Electric in negotiations with International Finance Corporation (IFC) for funding

CHENNAI: The Kolkata-headquartered EPC company Techno Electric & Engineering Company Ltd, is in active negotiations with International Finance Corporation (IFC), a member of the World Bank Group, seeking further equity and debt funding for its planned wind farms in Gujarat and Rajasthan.

The company has planned to set up 100 MW wind farms each in Gujarat and Rajasthan. The company finds Rajasthan having good potential as the tariffs there are better and the grid is also good.

Recently, the corporate finance arm of the World Bank IFC, had acquired a 3.38 per cent stake in Techno Electric for $5 million and had also invested another $30 million as debt in a subsidiary of Techno Electric, Simran Wind Project Pvt Ltd. Simran Wind has put up a 100-MW farm in Tamil Nadu.

Besides IFC, the Standard Chartered Bank has put $30 million and DBS Bank has funded $20 million in debt for farm project of Simran.

A 100 MW wind-power project in Tamil Nadu has been funded through a mix of debt (Rs 360 crore) and equity (Rs 240 crore). The project has come up in Amuthapuram, Rasta and Muthiampatti belt in Tamil Nadu.