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GEF Capital Plans $600M Fourth Fund After Stellar Exit from Premier Energies

GEF Capital Partners is preparing to launch its fourth fund worth $600 million, which could scale up to $1 billion with investor co-investments. The announcement follows the private equity firm's successful partial exit from solar module manufacturer Premier Energies, where it sold a 5.5% stake via a block deal. The firm initially invested Rs177 crore in 2021, and the latest sale—at Rs1,051.60 per share versus an entry price of Rs20—has yielded a massive return, with total profits expected to reach Rs8,000–Rs8,500 crore including its remaining stake.

This windfall has emboldened GEF’s climate-focused investment strategy, which spans solar manufacturing, green hydrogen, electric vehicles, and circular economy sectors like water, waste treatment, and recycling. The Premier Energies success story has been buoyed by India’s policy support, including BCD on solar modules, the ALMM mandate, and the Rs18,100 crore PLI scheme for Advanced Chemistry Cells (ACC).

Experts note the growing investor interest in backward integration—moving from modules to polysilicon—highlighting long-term returns in the solar value chain. GEF’s performance, aided by marquee buyers like Goldman Sachs and Blackstone Aqua, signals strong future capital flows into India’s clean tech and renewable manufacturing sector.