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British International Investment (BII) has partnered with the Emerging Africa & Asia Infrastructure Fund (EAAIF) to strengthen financing for Blueleaf Energy’s renewable energy projects in India. Under the agreement, EAAIF will participate in half of BII’s USD 75 million mezzanine debt facility, supporting the development of 850 MW of greenfield renewable energy capacity. The partnership aims to attract more private investment into climate infrastructure while supporting India's clean energy goals. The deal also expands EAAIF’s renewable energy investments in India and reflects growing collaboration between development finance institutions and institutional investors.
British International Investment (BII), the UK’s development finance institution, has entered into a partnership with the Emerging Africa & Asia Infrastructure Fund (EAAIF) to support Blueleaf Energy’s expansion in India and contribute to the country’s renewable energy targets.
As part of the transaction, BII has partially syndicated its mezzanine debt investment in Blueleaf Energy to EAAIF, which is managed by global investment manager Ninety One. The partnership is expected to support the next phase of Blueleaf Energy’s growth while strengthening investments in India’s clean energy sector.
The collaboration combines BII’s experience in the renewable energy sector and its local presence with EAAIF’s infrastructure financing capabilities. The institutions expect the partnership to encourage additional private investment into climate infrastructure projects across the region.
UK Minister for Development Jenny Chapman said the agreement demonstrated that investments led by British International Investment could attract participation from other institutional investors. She added that the partnership between BII and Ninety One would support Blueleaf Energy’s solar, wind and energy storage projects across India while contributing to the country’s clean energy transition. She further noted that the transaction reflected the type of collaboration being encouraged through the UK’s Emerging Markets and Developing Economies Investor Taskforce.
Under the agreement, EAAIF will participate in 50 per cent of BII’s USD 75 million facility extended to Blueleaf Energy. This financing will support the development of 850 MW of greenfield renewable energy capacity across India.
BII Chief Executive Leslie Maasdorp said the transaction reflected the institution’s originate-to-share investment approach under British Climate Partners. He explained that BII initially deploys capital to help launch projects before bringing in institutional investors to expand financing. He added that working with impact investors such as EAAIF allows BII to recycle capital into new projects while accelerating the development of clean energy infrastructure.
The investment also aligns with EAAIF’s strategy of financing climate-resilient infrastructure projects that promote decarbonisation and sustainable economic development. It marks an expansion of the fund’s climate infrastructure investments in Asia and represents EAAIF’s third renewable energy financing transaction in India.
Hendrik du Toit, Founder and Chief Executive of Ninety One, said the transaction highlighted how development finance institutions and private investors could work together to mobilise additional capital for renewable energy infrastructure projects with strong long-term fundamentals.
Blueleaf Energy has been expanding its presence in India’s renewable energy sector through utility-scale solar, wind and energy storage projects. The company’s planned capacity addition supports India’s broader objective of increasing the share of renewable energy in the country’s electricity mix.
India has also strengthened its long-term climate commitments by targeting a 47 per cent reduction in emissions intensity relative to its economic output by 2035, while continuing to expand renewable energy generation and energy storage infrastructure. Investments from development finance institutions such as BII have played an important role in mobilising international capital for these projects and complementing domestic investments in the clean energy sector.
BII said it will continue to hold a 50 per cent stake in the financing facility and will remain involved in supporting Blueleaf Energy’s future growth. The institution also indicated that it intends to mobilise additional private capital for similar climate infrastructure projects over time.
Source PTI
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