Rajasthan-based H.G. Infra Engineering’s (HGIEL) board of directors has approved a proposal to raise up to ₹4 billion (~$46.52 million) through the issuance of non-convertible debentures (NCDs).

The company is engaged in developing and implementing utility-scale solar power projects, battery energy storage systems (BESS), and hybrid renewable energy solutions. It also offers engineering, procurement and construction services for the clean energy sector.

The company said the NCDs can be secured, unsecured, or partially secured and will be rated, listed, taxable, and redeemable.

The fundraise will be completed in one or more tranches via private placement. The company will utilize the NCDs to enhance its financial flexibility for ongoing and future projects. It has not yet disclosed the exact structure or timeline of the issuance.

HGIEL said the fundraising initiative is part of a broader strategy to support its operational and strategic financing needs through market-based instruments.

The company is developing two standalone BESS projects in Gujarat. The first project involves the development of a 250 MW/500 MWh standalone BESS with an estimated cost of ₹7.3 billion (~$84.91 million). The second project entails setting up a 185 MW/370 MWh standalone BESS with an estimated cost of ₹5.4 billion (~$62.81 million).

In April this year, H.G. Infra Engineering emerged as one of the winners of Gujarat Urja Vikas Nigam’s auction to set up a 500 MW/1,000 MWh standalone BESS under tariff-based competitive bidding (Phase VI). The company secured a 300 MW contract at a tariff of ₹285,600 (~$3,345.08)/MW/month.

Last December, H.G. Infra Engineering won the Gujarat Urja Vikas Nigam’s Phase IV standalone BESS auction, securing 250 MW with a quoted tariff of ₹225,985 (~$2670.59)/MW/month.

In October 2024, the company was among the winners of NTPC Vidyut Vyapar Nigam’s auction to set up a 500 MW/1000 MWh standalone BESS with Viability Gap Funding support.