Nerues India to invest in 10 renewable energy companies | SupportBiz


Nerues India to invest in 10 renewable energy companies

India’s first renewable energy dedicated investor, Nereus India Alternative Energy Fund, a new private equity fund settled in Mauritius, will invest around $250 million (Rs 13912.5 million) in seven to 10 companies focusing on renewable energy assets.

The average investment in each company is between $15 million (Rs 834.75 million) and $35 million (Rs 1947.75 million), the Business Line reported.

Jonathan Winer, Founder and Managing Director, Nereus Capital said that, the company’s investment will go to all sub-sectors of alternative energy including wind, solar, hydro and bio-mass by 2014 end.

On Wednesday, The International Finance Corporation (IFC) announced a commitment of $20 million (Rs 1113 million) in Nereus India Alternative Energy Fund. Vikram Raju, regional lead in Asia for IFC’s private equity and investment funds programme expects IFC to reach to 10 to 12 companies, gaining multiplier effect and simultaneously look for strong risk-adjusted financial returns. He also added that, the corporation seeks to create new jobs.

IFC’s private equity investments have returned 22 percent (net) internal rate of return since 2000. As for India, no complete exits have happened in most of the investments, Raju said, the paper reported.