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June 09, 2009

Deal Alert: Shalivahana raises Rs. 90-Cr from Axis PE, IL&FS

Hyderabad-based green energy firm Shalivahana Green Energy Ltd. has raised Rs. 90 crore ($18 million) from Axis Private Equity and IL&FS Financial Services. Shalivahana is a renewable energy firm focused on biomass and small hydro power projects. While Axis PE has invested Rs. 54 crore ($11 million), IL&FS has invested Rs. 36 crore.

The deal marks Axis PE’s fifth investment, taking its total investments to Rs. 374 crore. The firm's previous investments have been spread across sectors like water supply and sanitation, laying oil and gas pipelines, railway EPC and hospitality.

“This investment further reaffirms Axis PE’s commitment to invest in infrastructure related companies in high growth segments such as renewable energy.” says Mr. Alok Gupta, MD & CEO, Axis PE. "Over 60% of India’s generation capacity is from thermal sources whereas renewable energy sources (excluding hydro projects above 25 MW) account for a mere 9%. As per Ministry of New and Renewable Energy estimates, around 15,000 MW of additional renewable energy capacity is planned to be added during the 11th five year plan. SGEL’s proven project development and execution track record provides a strong platform to capitalise on the future growth potential in the sector and we are delighted to partner the Company in its growth plans," Mr Gupta added.

About Axis Private Equity

Axis PE, a company sponsored by Axis Bank manages the Axis India Fund (AIF) with a targeted corpus of INR 2,000 Cr (USD 400 Mn). AIF will seek to invest in the equity of rapidly growing infrastructure related companies. Axis PE’s team comprises of investment professionals who have a combined experience of over 80 years and who have been investing in India for many years.