120 likes | 306 Views
Energy SME Financing: Challenges & Innovative Financing Instruments . Summary. India has a good track record of funding Energy SMEs when they have reached a certain scale by way of equity India has challenges around early stage investing and debt financing . New Ventures India .
E N D
Energy SME Financing: Challenges & Innovative Financing Instruments
Summary • India has a good track record of funding Energy SMEs when they have reached a certain scale by way of equity • India has challenges around early stage investing and debt financing
New Ventures India • Started in 2006 • Current Partner : Regain Paradise Research Consulting • Facilitated USD 43 million in investments
Sectors and Supported Enterprises Energy Efficiency Renewable Energy Water Tech • Recycle Organic Farming • Clean Tech Energy SMEs
Distribution of Portfolio Companies Energy SMEs
Portfolio Company : Funding Analysis 78% of the USD 35.77 as equity New Chapter… USD 43.17 in 22 companies
Investment Facilitation Angel Networks Angel Networks Social Enterprise Funds Impact Investors Venture Capitalists Cleantech Focused VC/Private Equity Banks Banks More than 30 Investor network members across the investing spectrum
Deals in Green Entrepreneurship Water & Waste Organic Farming Technology Innovation Social Enterprises Project Developers Aavishkar IDG Clearwater Barings IFC (W) Acumen et al Nexus Helion Peepul Nexus Aavishkaar Bessemer IDFC DFJ IVF GEF DFJ, BlueRun Acumen Deals across the board
Summarizing the Challenges • Lack of really early stage funds • Lack of focused incubators • Lack of efficient debt instruments
Trends in early stage funds Sector agnostic early stage Social enterprise early stage investor /incubator Globa Social Venture Capital, Villgro…. The investment amount in early stage investing has increased by about 300% in the last one year (source : Venture Intelligence)
Innovative Financing Instruments : Debt • SIDBI and KfW lines: • Cleaner Production and Energy Efficiency line – demand side • Innovation Finance Line (late 2012) - supply side
Innovative Financing: Crowdfunding • Achieved so far • Won an (50%) ANDE grant to develop a crowd-funding platform for impact investments • Goal • Develop a product that can be deployed globally thru partners