Mas­dar buys stake in Hero Future of In­dia

The National - News - - BUSINESS - THE NA­TIONAL

Abu Dhabi Future En­ergy Com­pany, Mas­dar, has made a strate­gic in­vest­ment in In­dia’s Hero Future En­er­gies com­pany, as it looks to ex­pand it op­er­a­tions be­yond the UAE.

The com­pany did not dis­close the size of its stake in HFE, or the amount in­vested, but its deal fol­lows on from an ini­tial $125 mil­lion (Dh458.8m) in­vest­ment made two years ago in the In­dian com­pany by the In­ter­na­tional Fi­nance Cor­po­ra­tion, the de­vel­op­ment fi­nance arm of the World Bank.

Hero Future En­ergy is a di­vi­sion of the Mun­jal Fam­ily’s Hero Group, whose main fo­cus is mo­tor­bike man­u­fac­tur­ing in Asia’s third-largest econ­omy.

HFE cur­rently has a port­fo­lio of 1.3 gi­gawatts worth of wind and so­lar projects, with a fur­ther 1.5GW ei­ther planned or un­der con­struc­tion.

The bulk of its ex­ist­ing op­er­a­tions are in In­dia, but it is also tar­get­ing in­ter­na­tional ex­pan­sion.

It ex­pects about 25 per cent of its growth to come from in­ter­na­tional mar­kets, in­clud­ing the UK, Europe, Bangladesh, Sin­ga­pore, Viet­nam, the

Philip­pines and In­done­sia. It is also look­ing to de­velop 5GW of in­stalled ca­pac­ity by 2022.

“Hero Future En­er­gies and Mas­dar are ideal long-term strate­gic part­ners,” said Rahul Mun­jal, HFE’s chair­man and man­ag­ing di­rec­tor. “We have clear align­ment in our core am­bi­tions.

“We are com­mit­ted to ad­vanc­ing the de­vel­op­ment, com­mer­cial­i­sa­tion and de­ploy­ment of cut­ting-edge re­new­able power so­lu­tions.”

Hero Future En­ergy is a di­vi­sion of Hero Group, whose main fo­cus is mo­tor­bike man­u­fac­tur­ing

Mas­dar is a wholly-owned unit of Abu Dhabi’s strate­gic in­vest­ment arm, Mubadala In­vest­ment Com­pany. The clean-tech op­er­a­tor has al­ready in­vested in a range of re­new­able en­ergy projects in the UAE, Jor­dan, Mau­ri­ta­nia, Egypt, Morocco, the UK, Ser­bia and Spain.

The com­pany an­nounced an in­vest­ment in a $100 mil­lion so­lar project in Uzbek­istan at the week­end.

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