India's Greenko raises £72m in placing, TPG private equity group buys £21m stake

Indian clean energy specialist Greenko (AIM: GKO) has raised approximately £72 million through a placing of 51.4 million new shares with institutional and other investors at a price of 140 pence per share. The company said the proceeds will help it reach near term strategic objectives.

International private investment firm TPG subscribed for placing shares with an approximate value of £21 million, and the transaction represents TPG’s first significant investment in India’s clean energy industry, Greenko said. TPG has approximately US$45 billion of assets under management and has extensive experience and investments in the energy, power and commodities sectors.

"We are delighted with the support from many of our existing major investors and in particular from new institutional investors”, Greenko chief executive Anil Chalamalasetty said, “The support of an investor of TPG's calibre is a significant affirmation of Greenko`s position as a leading clean energy company within India.”

With the exception of the TPG subscription the remaining placing shares were underwritten by Arden Partners, which arranged the institutional placing along with Mirabaud Securities LLP. The placing shares represent approximately 43.1% of the enlarged share capital, and are subject to shareholder approval at an EGM scheduled for 22 February 2010.

Greenko said its original investors, Aloe Environment Fund and Aloe Environment Fund II, intend to support the placing. Collectively the Aloe funds hold 21.3 million shares representing 31.35% of the company’s current share capital.

"Greenko has gone from strength to strength over the years. The management continue to meet their commitments to investors and we believe that this additional capital raising will enable Greenko to deliver accelerated growth and enhance shareholder value", Aloe Private Equity Director and Co-Founder, Vivek Tandon said.

Greenko directors hold 8.4 million shares, which represents 12.39% of the current share capital.

http://www.proactiveinvestors.co.uk/companies/news/12687/indias-greenko-raises-72m-in-placing-tpg-private-equity-group-buys-21m-stake-12687.html