Suryachakra Global Ventures Limited, a 100% subsidiary of Suryachakra Power Corporation Limited, has entered into a memorandum of understanding with American Bio Sources Inc and Environmental Energy Finance Corporation Inc to work together for implementing renewable energy power projects with capacity up to 500 MW in India.

SGVL and ABS EEFC will set up 50:50 JV for developing up to 500 MW renewable energy power projects in India, through the special purpose vehicles.

ABS has USD 200 million approved funding from EXIM Bank of USA to set up RE Power plants in India. ABS and EEFC will work with SGVL to secure funding for commissioning the RE power plants under BOOT on a financially viable model.

The equity stake will be distributed equally between the two groups (SGVL and ABSIEEFC). ABS EEFC will bring the USD 200 million approved funding.

ABSIEEFC shall assist and coordinate with SGVL in identifying and sourcing of attractive low interest rate funding, namely EXIM/institutional or any other attractive funds for the other RE Power Projects such as Wind, Biomass, Solar etc, by adopting cost effective and latest technology. SGVL shall extend all necessary coordination and documentary support to ABSIEEFC to hasten the implementation and completion of the projects.

(Sourced from www.equitybulls.com)