Mytrah Energy well financed for growth in wind power

Mytrah Energy has announced results for the year ended 31 March 2011. They show the company raised USD79.24 million before issue expenses of USD6.4 million on the London Stock Exchange’s AIM market.

Mytrah also signed long term supply agreements with two of the largest global wind farm vendors for delivery of 5,000 megawatts of wind energy assets by 2017.

Subsequent to year- end, the company raised an additional USD111.5 million of mezzanine financing. The Group remains on track to have 500 MW operational by March 2012.

Ravi Kailas, Mytrah Energy’s Chairman and Chief Executive Officer, commented: "This has been a very successful first year for Mytrah Energy Limited. In the period, the Company made significant strides in preparing its finances and purchase agreements for rapid and large- scale expansion.

The Company successfully raised USD79.2million before issue expenses of USD6.4 million at the time of its admission to AIM. We renegotiated our contract with Suzlon to offer Mytrah Energy shareholders increased visibility on the delivery of wind turbines.

"We closed USD111.5million of innovative non- dilutive mezzanine financing. Assuming a 70:30 debt to project equity split the Group considers it has now obtained enough project equity funding for 700 MW of wind power generation capacity.

"For the 700MW, the Group had by year end obtained enough senior debt financing for 100.8 MW, and subsequent to the year end was in advanced discussions with a leading lender in India to fund the senior debt requirement for a further 261.2 MW.

"The Group expects to continue to accelerate its expansion rate as cash flow is generated and additional financing options become available.

"We are committed to growing into a large-scale renewable energy business in India, seeking to have installed capacity of 5,000 MW of wind power by 2017. Through our agreements with Suzlon and Gamesa we are confident in our ability to realize the scale of growth and offer significant value creation for our shareholders."