Bondada Engineering Limited, through its subsidiary Onix IPP Private Limited, has secured a financial sanction of ₹911.25 crore from the State Bank of India (SBI) for the development of a 225 MW solar Independent Power Producer (IPP) project.
The sanctioned financing includes a primary term loan facility of ₹900 crore and non-fund-based facilities amounting to ₹11.25 crore. The funding is expected to support the development and execution of the large-scale solar power project, strengthening Bondada Engineering’s presence in the renewable energy sector.
A key component of the project is a 25-year Power Purchase Agreement (PPA) signed with Maharashtra State Electricity Distribution Company Limited (MSEDCL). The long-term agreement is expected to provide revenue visibility for the project and support predictable cash flows over the operating life of the solar asset.
The financial approval from SBI marks an important step in Bondada Engineering’s strategy to expand its renewable energy portfolio through long-term infrastructure assets. The company aims to increase its exposure to annuity-based green energy projects, complementing its existing activities across the renewable energy value chain.
The proposed 225 MW solar project is expected to contribute to the company’s long-term earnings once completed and operational. The project also supports the broader expansion of renewable energy generation capacity in India, where solar power continues to play a major role in the country’s clean energy transition.
Bondada Engineering has been developing a diversified renewable energy platform covering multiple complementary business segments. These include engineering, procurement and construction (EPC) services, operations and maintenance (O&M), battery energy storage systems (BESS), and independent power producer projects.
The company’s multi-segment strategy is aimed at creating a broader clean energy business with both project development and service-based revenue opportunities. The addition of a 225 MW solar asset is expected to further strengthen this platform while increasing the group’s participation in long-term renewable power generation.
The company has formally disclosed the approval of the credit facilities to the regulatory authorities in accordance with applicable provisions of the Securities and Exchange Board of India’s listing obligations and disclosure requirements.
With SBI’s financial backing and the 25-year PPA with MSEDCL, Bondada Engineering and Onix IPP are positioned to proceed with the development of the solar project. The financing is expected to provide the capital support required for execution while the long-term power purchase arrangement offers greater visibility on project revenues.
The project represents a significant expansion of Bondada Engineering’s renewable energy ambitions and reinforces its focus on developing sustainable infrastructure assets in India’s growing clean energy market.
Discover more from SolarQuarter
Subscribe to get the latest posts sent to your email.
