KKR and Hero Group started cooperation in the field of RES
KKR and Hero Group started cooperation in the development of green energy. According to it, the parties will invest $450 million in Hero Future Energies (HFE).
The funds will allow Hero Future Energies to expand its renewable energy production capacity. The company has solar, wind, battery, and clean hydrogen facilities.
In addition, the investment will allow providing comprehensive support to companies that implement programs to reduce carbon emissions and the transition to green energy sources.
In turn, representatives of the investment company KKR noted the high potential of HFE as a strong producer of clean energy. Its capacity will allow India to accelerate the implementation of its strategy to reduce carbon dependence.
Hero Group, a large industrial conglomerate, was founded in India in 1950. In 2012 an independent division Hero Future Energies was established to focus on the development of green energy. Now the company has facilities in India, several countries in Europe, and Southeast Asia. HFE’s portfolio includes 1,6 GW, first of all, solar and wind stations, besides the company actively implements different hybrid projects, and develops hydrogen production, demand for which has been growing during the last several years.
HFE provides effective solutions for the transition to green energy in various market sectors. The company provides clean technology to educational institutions, industrial enterprises, and state institutions. Particular attention is paid to compliance with health and safety regulations, environmental protection, and the principles of sustainable development. HFE develops modern solutions in the field of engineering and design. In the near future, the company plans to increase its RES portfolio by 2025, expanding its assets in this area to 5 countries. In addition, HFE follows the global goals of the environmental strategy, which implies achieving a neutral level of carbon emissions by 2030.
The American investment company Kohlberg Kravis Roberts, or KKR, has been on the market since 1976. Last year, assets under its management totaled about $471 billion. KKR’s portfolio consists of 109 companies with a combined turnover of $265 billion. The largest share of investment is in the Americas region – 58%, followed by Asia-Pacific with 30%, followed by businesses from Europe and the Middle East. Investment activity last year brought the company almost $174 billion. Revenues from insurance activities amounted to $6.5 billion.
The agreement with Hero Group is a great opportunity for KKR to enter the green technology market, having the support of a major manufacturer.
