BII, IFC and Tata Capital Back GreenCell Mobility With $33 Mn for E-Bus Expansion

The United Kingdom's (UK) development finance institution, British International Investment (BII), and impact investor, has committed $33 million to GreenCell Mobility (GreenCell), an electric bus company in India, as part of a $89 million mezzanine financing. In a press release, BII announced that it has jointly financed this project with IFC and Tata Capital.  

Backed by Eversource Capital, GreenCell operates India’s largest manufacturer-agnostic electric bus platform with a fleet of over 1,200 e-buses serving intra-city and intercity routes, supported by more than 270 charging stations across India. 

The funding will help expand the fleet to 3,700 buses, delivering services across Delhi, Madhya Pradesh, Andhra Pradesh, Bihar, and Puducherry under the National E-Bus Program and the PM Seva E-Mobility initiative.

GreenCell Mobility has previously secured green financing from the leading Japanese financial institution Sumitomo Mitsui Banking Corporation (SMBC) for its Electric Bus project in Uttar Pradesh. This was not only one of the first Project Finance transactions by a Japanese bank in the Electric Mobility domain in India, but it was also SMBC's first Project Finance transaction in E-Mobility in the Asia Pacific.

About The Financing  

With transportation responsible for approximately 12% of energy-related greenhouse gas emissions, decarbonising the sector has become a national priority. The Government of India has set an ambitious target of achieving 30 per cent EV penetration by 2030, signalling the urgency to transition to cleaner transport.   

Shilpa Kumar, Managing Director and Head of India at BII, said, “Climate action is a key priority for BII in India, with electric mobility as a key pillar of our climate investment strategy. Getting more electric buses on the roads is an effective way to decarbonise public transport at scale. Our investment in GreenCell Mobility reflects our commitment to supporting proven platforms that accelerate clean mobility.”