Krishnamurthy & Co. (K Law) advised Tata Capital Limited, as the lenders’ legal counsel, in connection with granting certain project financing facilities for setting up of an open access solar power project in Pudukkottai District of Tamil Nadu.

The solar power project will be developed in Tamil Nadu by the Indian subsidiaries of a leading German renewable energy major engaged in project development, technical consultation, engineering procurement and construction, operations, and energy trading. The German parent entity has developed more than 700 solar projects to date with more than 4700 megawatts of installed solar power capacity in more than 25 countries including Germany, Spain, France, the Netherlands, Portugal, Australia, and India.

Tata Capital Limited granted structured project financing facilities for the development of the solar power project in Tamil Nadu and the transaction was structured on co-obligor basis amongst the various Indian subsidiaries of the German parent. The financing is secured by charge over various project assets and other customary securities provided by the Indian borrower and also ringfenced by various guarantees from the German parent entity.

K Law was involved in structuring the project financing transaction and drafting, negotiating, and finalising all the financing and security documents, in addition to advising the lender on various legal and regulatory issues in connection with the cross-border transaction.

The transaction was led by Zeeshan Khan (Partner) and assisted by Anirban Roy Choudhury (Principal Associate) with the support of a team of associates.

Taylor Wessing (Hamburg Office) advised Tata Capital Limited as the lender’s foreign legal counsel in Germany. The Taylor Wessing team was led by Dr. Tillmann Pfeifer (Partner, Head - Energy & Infrastructure Industry Group) and assisted by and Corvin Gutzeit (Associate). K Law worked closely with the Taylor Wessing team for this transaction.

The open access solar power project in Tamil Nadu will be developed as an independent power producer and is aimed at catering large commercial and industrial consumers for meeting their decarbonisation commitments. Initial offtakers include leading entities from chemicals, automotive, pharmaceuticals, and consumer products sectors.

Tata Capital Limited’s cleantech finance vertical is the first of its kind green setup financing the cleantech segment in India using private capital. The cleantech finance vertical has been instrumental in mainstreaming the cleantech sector in India and has played a pivotal role in effectively channelling climate funds from leading climate investors globally for funding Indian climate projects.