KPI Green Launches India’s First Credit-Enhanced Green Bond Issue

KPI Green Energy Limited said on Tuesday that it has launched the country’s first externally credit-enhanced green bond issue. The Rs 670-crore issuance, listed on the National Stock Exchange, comes with a 65% guarantee from GuarantCo, part of the Private Infrastructure Development Group, according to a statement.

The five-year instrument, carrying an 8.5% annual coupon and rated AA+(CE) by CRISIL and ICRA, is designed to attract long-term investors, including mutual funds, insurance companies, and infrastructure debt funds.

The proceeds will be channelled into solar, wind, and hybrid power projects in Gujarat, which are expected to provide clean power access to nearly 2.1 lakh people annually and cut over 3.4 lakh tonnes of carbon emissions each year.

The bond issue has not only diversified funding avenues beyond traditional banks but also strengthened India’s clean energy roadmap, Dr Faruk G Patel, Chairman and Managing Director, said.

The transaction is estimated to mobilise around $175 million in domestic capital while advancing global sustainability goals.

With a track record of developing 1 GW of renewable capacity by FY26 and over 3 GW in the pipeline, KPI Green has set its sights on 10 GW by 2030.