Brookfield has announced an equity investment of $550 million in Tamil Nadu-based Leap Green Energy, with an upfront commitment of $200 million. It has acquired controlling stake in the company, and the commitment is through subscription to new shares and acquisition of shares from current shareholders.
Brookfield will work with Leap Energy’s existing shareholders to boost its capabilities and grow the platform in excess of three GW over the next four to five years. There is a provision to infuse the remaining $350 million to support future growth of the business.
Leap Green Energy is a RE platform focused on providing clean energy solutions to commercial and industrial (C&I) customers. Brookfield’s investment will be made through the Brookfield Global Transition Fund I (BGTF I), in line with its strategy of focusing on investments which accelerate the global transition to a net-zero carbon economy. BGTF I’s investment in Leap Green would assist the company’s growth plans, especially in the rapidly expanding commercial and industrial segment.
Tamil Nadu, with a total addressable, growing renewable C&I market of 20 GW is a key target market for Leap Green. By combining Brookfield’s access to capital, procurement, operational expertise, and Leap Green’s in-house development, asset management and customer servicing capabilities, the business is well-positioned to cater to the decarbonization targets of the C&I segment.
Brookfield has approx. 33 GW of generating capacity and a development pipeline of over 155 GW.
