Brookfield to Invest $550 Million in India's Leap Green Energy.

Brookfield has announced a significant equity investment of $550 million in Leap Green Energy, a renewable energy platform based in Tamil Nadu. This investment includes an upfront commitment of $200 million, with an option to inject an additional $350 million to support the company's future growth.

In a recent release, Brookfield confirmed that it has acquired a controlling stake in Leap Green Energy. This strategic move follows investment agreements between the two companies, solidifying Brookfield's role in Leap Green's expansion.

The initial commitment involves a combination of subscribing to new shares and acquiring shares from existing shareholders. Brookfield plans to collaborate with Leap Green’s current shareholders to enhance the company's capabilities and expand its platform to exceed 3 GW over the next four to five years.

Brookfield’s investment will be channeled through the Brookfield Global Transition Fund I (BGTF I). This fund focuses on investments that accelerate the global transition to a net-zero carbon economy while delivering strong risk-adjusted returns to investors.

"BGTF I’s investment in Leap Green should help the company’s growth plans, especially in the rapidly expanding commercial and industrial segment," Brookfield stated.

Tamil Nadu, with a total addressable and growing renewable commercial and industrial (C&I) market of 20 GW, represents a key target for Leap Green. By leveraging Brookfield’s capital, procurement, and operational expertise along with Leap Green’s in-house development, asset management, and customer servicing capabilities, the company aims to meet the decarbonization targets of the C&I segment.

Brookfield is one of the world's largest investors in renewable power, with approximately 33 GW of generating capacity and a development pipeline exceeding 155 GW. In India, Brookfield's renewable power and transition portfolio includes over 25 GW of wind and solar assets in various stages of operation, construction, and development across leading platforms.

HBL