GPS Renewables (GPSR) said on Monday that it has raised Rs 635 crore in a Series C funding round to support the company’s next phase of growth.
The Series C round comprises ₹125 crore in equity funding led by PixelSky Capital, with participation from the Spectrum Impact Family office and other investors.
This is further coupled with a tie-up for equity under the asset hold-co, Arya of Rs 200 crore from a leading Korean conglomerate. Earlier, a similar round of tie-up for the asset platform business with IOC was done for Rs 310 crore from Sojitz Corporation.
The freshly induced capital will support the company’s next phase of growth, strengthen its financial position, and accelerate the execution of a growing pipeline of large-scale compressed biogas (CBG) projects across India. A portion of the funds will also be invested in GPSR Arya, the company’s project development platform, to support ongoing and upcoming projects.
Mainak Chakraborty, CEO of GPS Renewables, said, “The current fundraise comes at a time when we are focused on scaling large-scale bioenergy infrastructure projects across the country. This capital enhances our execution capabilities, and positions us well to deliver on a growing portfolio of projects.”
The capital raise allows GPS group to fortify its balance sheet and is a step towards funding its capital management plan. The capital will allow the company to leverage further for the EPC business as well as invest in GPS Arya, the asset platform business” Parag Parikh, Group CFO of GPS Renewables and CEO of Arya, noted.
Zerin Rahman, Managing Partner at PixelSky Capital, said “GPS Renewables has consistently shown a highly disciplined approach towards scaling bioenergy infrastructure in India. Their proven track record of consistently delivering and being profitable since inception gave us a lot of confidence in their technology and execution capabilities.”
GPS Renewables has delivered several industry-first projects, including Asia’s largest municipal solid waste-based CBG plant in Indore, one of the world’s fastest-executed CBG plants in Barabanki, and the upcoming CBG complex in Kakinada, which is expected to be among the largest globally.
The company’s current pipeline includes more than 30 operational or near-complete projects, with visibility on over 200 CBG projects being developed in partnership with oil marketing companies. GPS Renewables is also the only Indian company with joint ventures with both Indian Oil Corporation and Bharat Petroleum Corporation for the development of CBG infrastructure.
The company recently secured an EPC contract from NTPC to construct India’s first Ethanol-to-Jet (ETJ) Sustainable Aviation Fuel (SAF) plant.