Brookfield has agreed to acquire a controlling stake in Leap Green Energy, a renewables platform based in Tamil Nadu, India, that provides clean energy solutions to commercial and industrial (C&I) customers.
The Toronto, Canada-headquartered global alternative asset manager is investing more than US$200 million in Leap Green through a combination of subscription of new shares and acquisition of shares from current shareholders. Additionally, Brookfield has the option to infuse a further US$350 million of incremental equity capital to support the future growth of the business.
Brookfield will work alongside the company’s existing shareholders to enhance its capabilities and grow the platform to more than 3 gigawatts over the next four to five years.
The investment, which is being made through Brookfield Global Transition Fund I (BGTF I), is in line with the asset manager’s strategy of focusing on investments that accelerate the global transition to a net-zero economy while delivering strong risk-adjusted returns to investors.
Brookfield’s capital aims to provide impetus to the platform’s growth ambitions in India’s rapidly expanding C&I segment.
Tamil Nadu, with a growing renewable C&I market of about 20GW, is a key market for Leap Green. By combining Brookfield’s access to capital, procurement, and operational expertise with Leap Green’s in-house development, asset management, and customer servicing capabilities, the business is well-positioned to meet the decarbonization targets of the C&I segment, the companies say.
Brookfield is one of the world’s largest investors in renewable power with about 33GW of generating capacity and a development pipeline of over 155GW.
Its assets, located in North and South America, Europe, and Asia-Pacific, comprise a diverse technology base of hydro, wind, utility-scale solar, distributed generation, storage, and other renewable technologies.
In India, Brookfield’s renewables portfolio comprises of over 25GW of wind and solar assets in operation, construction and development across leading platforms.
