Norwegian state fund invests $20 million in India’s IPO-bound SAEL, document shows

NEW DELHI: Norwegian state-owned fund Norfund has pumped $20 million into India’s SAEL Industries Ltd, taking its total investment to $130 million ahead of the renewable energy firm’s planned initial public offering, according to a document.

Norfund has invested the amount through compulsorily convertible preference shares, like the previous transactions, and they will be converted into equity once SAEL is listed on Indian exchanges, two sources familiar with the move said.

The funds will be invested in clean energy projects the Indian company has won through bidding.

SAEL’s clean energy portfolio includes 8.3 gigawatts (GW) of solar projects (operational and in the pipeline), 3.5 GW of solar module manufacturing and over 165 megawatts of agri-waste-to-energy capacity with 11 biomass power plants across Punjab, Rajasthan and Haryana.

The company will invest 82 billion rupees to establish an integrated 5 GW solar cell and 5 GW solar module manufacturing facility in Greater Noida, Uttar Pradesh.

SAEL is in the process of filing its draft prospectus for the IPO and is yet to finalise the amount it intends to raise, the sources said.

SAEL’s revenue from its biomass and independent-power-production business nearly doubled to 6.87 billion rupees in fiscal 2025 from fiscal 2023.

The company aims to grow its revenue from these businesses to 30.94 billion rupees by fiscal year 2027.

Norfund and SAEL did not respond to Reuters’ inquiry seeking comments on the transaction.