Norwegian state-owned fund Norfund has invested $20 million in SAEL Industries Ltd, bringing its total stake in the renewable energy company to $130 million ahead of SAEL’s planned initial public offering (IPO), according to sources familiar with the matter, reports The Economic Times.
The investment was made through compulsorily convertible preference shares, which will be converted into equity once SAEL is listed on Indian stock exchanges, similar to Norfund’s previous transactions. The funds will be directed toward the company’s clean energy projects acquired through competitive bidding.
SAEL’s portfolio includes 8.3 gigawatts (GW) of solar projects, both operational and under development, 3.5 GW of solar module manufacturing capacity, and over 165 megawatts of agri-waste-to-energy capacity through 11 biomass power plants in Punjab, Rajasthan, and Haryana. The company also plans to invest ₹8,200 crore in a 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 IPO prospectus and has not yet finalized the total amount it plans to raise.
The company reported that revenue from its biomass and independent power production businesses nearly doubled to ₹687 crore in fiscal 2025 from fiscal 2023, and it aims to increase this revenue to ₹3,094 crore by fiscal 2027.
Neither Norfund nor SAEL responded to Reuters’ request for comment on the transaction.
