Wind energy solutions provider Inox Wind has announced an investment of approximately ₹5 billion (~$60 million) from its main promoter and affiliated group entities.

The capital infusion was realized through an equity share sale of the company by its promoter and associated group entities, facilitated through block deals.

The generated funds will be used to settle Inox Wind’s debts.

Kailash Tarachandani, the CEO of Inox Wind, stated, “The recent fundraising initiative led by Inox Wind’s promoters and the subsequent capital infusion significantly reinforces our financial strength and empowers us with enhanced flexibility for future growth endeavors. The unwavering commitment, which our long-term investors have shown in Inox Wind Limited, stands as a testament to their trust and confidence in the company.”

Inox Wind has four manufacturing facilities in Gujarat, Himachal Pradesh, and Madhya Pradesh.

In December 2022, the promoters infused ₹6.2 billion (~$75.34 million) into the company, reducing debt in the wind business and the group company.

In August this year, the company approved a plan to secure up to ₹8 billion (~$97.2 million) through the issuance of non-convertible, non-cumulative, participating, redeemable preference shares, constituting 0.01%, in a private placement arrangement with the promoter’s group.

The company has disclosed that these funds were employed to settle the advances received from its parent company, Gujarat Fluorochemicals. This capital infusion was directed toward establishing additional wind power capacity.

Recently, Inox Wind, along with its subsidiary Inox Green Energy Services, settled loans amounting to ₹1.61 billion ($19.56 million) and ₹2.5 billion ($30.37 million).

In its third quarter of FY 2023, the company stated that other strategies the company used to reduce debts include a reduction in interest-bearing liabilities to over ₹11 billion (~$132.7 million), including ₹3.3 billion (~$39.8 million) in Inox Green Energy Services.