According to sources familiar with the matter, the founders of Continuum Green Energy Ltd are actively pursuing a USD 200 million loan to facilitate the acquisition of a portion of Morgan Stanley Infrastructure Partners LP's majority stake in the India-based renewable energy firm. The initiative, reported by Bloomberg, underscores the founders' strategic intent to expand their ownership in the company.
Arvind Bansal and Vikash Saraf, who currently hold a minority stake in Continuum Green Energy, have enlisted the assistance of Deutsche Bank AG to facilitate the loan arrangement, as per the sources.
Established in 2009, Continuum Green Energy asserts itself as a prominent player in the Indian renewable energy landscape, boasting a focus on utility-scale wind and wind-solar hybrid (WSH) projects. With a portfolio encompassing 4 GW of capacity, including operational, shortly operational, and developmental projects, the company stands as a key contributor to India's renewable energy transition.
Earlier in April, Continuum Green Energy signaled its intent to acquire a portion of Morgan Stanley's shareholding, as evidenced by a non-binding term sheet. The proposed transaction, once finalized, would see Morgan Stanley Infrastructure Partners LP retain a substantial minority stake in the company, although specific details remain undisclosed.
Currently, a fund managed by Morgan Stanley's unit holds a majority share of 92.31% in Continuum Green Energy, with the founders maintaining a 7.69% stake through Singapore-registered Continuum Energy Pte, as indicated by a bond prospectus cited by media reports in August.
The reported loan arrangement underscores the founders' determination to strengthen their position within Continuum Green Energy, signaling confidence in the company's growth prospects and its pivotal role in India's renewable energy ecosystem.
