Three global institutional investors, including International Finance Corporation (IFC), Siemens Financial Services and Fullerton Carbon Action Fund, on Thursday announced an equity investment of $105 million in green hydrogen solutions platform Hygenco Green Energies. This marks IFC, Siemens and Fullerton’s first direct green hydrogen investment in the country.
Hygenco’s existing operational projects were supported by a $25 million equity investment by SBI Ventures-managed Neev II Fund in 2022. The new equity infusion will support the development of multiple commercially attractive green hydrogen projects, as Hygenco aims to mobilise additional private-sector investments for the production of green hydrogen and its derivatives, including green ammonia.
“By expanding the production capabilities and strengthening supply chains, Hygenco aims to deliver zero-emission green molecules to hard-to-abate industrial sectors, playing a transformative role in the country’s energy transition and directly supporting the National Green Hydrogen Mission,” the companies said.
They added that the consortium will provide Hygenco with financial depth, commercial discipline and industrial backing to underwrite the company’s next phase of growth.
“Together, this partnership aims to scale a commercially viable model, pioneer Hydrogen-as-a-Service, and expand the supply of affordable and reliable green hydrogen solutions, while signalling confidence in the sector’s long-term growth potential,” said Imad N Fakhoury, regional division director for South Asia, IFC.
As part of the deal, IFC is investing $25 million from its own account, Siemens is investing $25 million, and Fullerton is investing up to $30 million. This is complemented by two blended-finance facilities implemented by IFC — the Clean Technology Fund, a programme of the Climate Investment Funds (CIF), which is investing $20 million, while the Frontier Opportunities Fund, supported by the German government, is providing $5 million.
Hygenco currently operates two commercial green hydrogen plants in India and is set to begin construction of three to four more plants in 2026-27. The company is a recipient of the Production Linked Incentive (PLI) under the government’s Strategic Interventions for Green Hydrogen Transition (SIGHT) programme.