Rooftop solutions company Mysun on Wednesday said it has raised Rs 15 crore in debt funding from Tata Cleantech Capital Ltd (TCCL). TCCL is a joint venture between Tata Capital Ltd (TCL) and International Finance Corporation (IFC). Mysun has recently launched its solar asset vehicle, Mysun+ to develop solar projects under the distributed and open access models with an investment of Rs 600 crore in the first phase.
This term loan will be used to fund the existing projects of Mysun+ and credit line will be used to develop its pipeline projects, a statement said on Wednesday. Mysun is present in nine states including Rajasthan, Maharashtra, Uttar Pradesh, Gujarat, Madhya Pradesh and Andhra Pradesh along with the National Capital Region. “We have got a very promising traction in our new launched asset vehicle Mysun+ and this funding from TCCL will help us de-leverage our equity capital and develop a larger pipeline of projects.
Over the next few quarters, we are looking to develop about 200MW of projects which are currently at various stages of development, Gagan Vermani, founder and CEO of Mysun, said. Vermani noted that despite the pandemic, the company is witnessing robust demand for clean and affordable solar power. “We took this period as an opportunity to expand our business across different verticals to become a complete 360-degree platform for large C&I (Commercial and Industrial), SMEs and even homes in some regions.
The demand is expected to exponentially grow, and we are actively looking at EV charging and some newer product lines too,” he added. Vermani said the company’s unique online customer awareness and acquisition platform coupled with highly digitised demand aggregation tools provide it access to hundreds of thousands of new clients every month. TCCL is the first private sector company globally to partner with Green Climate Fund (GCF) to develop solar rooftop market through USD 100 million credit line and this term loan and credit line raised by Mysun forms a part of this GCF Facility.
“TCCL has an active solar rooftop funding program which aims to mainstream financing in this segment. We are already assisting multiple entities in adoption of rooftop solar systems. Our partnership with Mysun gives us the opportunity to further accelerate India’s energy transition,” TCCL MD Manish Chourasia said. He added that rooftop solar represents only 11 per cent of total solar installation in India, which is significantly lower than the targeted 40 per cent share, and TCCL aims to bridge the gap to decarbonise energy consumption.
TCCL is the first private climate finance institution in emerging economies and committed to develop a sustainable ecosystem for the future, Chourasia further stated.