With investment of $1.60 billion, Petronas will secure a 30% stake in AM Green, valuing the newly formed company at $5 billion. The Greenko founders —Mahesh Kolli and Anil Kumar Chalamalasetty— will hold the remaining 70% along with Singaporean wealth fund GIC, which will invest $250 million.
This capital raise by AM Green is said to be one of the top five biggest capital raises in India in 2023 and among the world’s largest energy-transition deal.
According to a joint press release issued by Gentari and AM Green, the project aims to produce 5 million tonnes of green ammonia each year (MTPA) until 2030. This is equivalent to around 1 MTPA of green hydrogen and will account for 20% of India’s target for green hydrogen production by 2030 or 10% of Europe’s imported renewable hydrogen targets.
The green ammonia will be produced by a unit of AM Green — AM Green Ammonia Holdings. Post-investment from Gentari, GIC and AM Green, the unit will be a fully funded platform that will invest, in phases, in the Indian regions of Andhra Pradesh, Tamil Nadu, Gujarat, Karnataka, and Himachal Pradesh.
AM Green Ammonia will become one of the world’s leading producers of green ammonia.
AM Green will also produce green molecules such as green methanol, green caustic soda, green chlorine, bio fuels and various down stream high value green chemicals under its AM Green Molecules subsidiary.
Additionally, AM Green will also house a joint venture with John Cockerill of Belgium to manufacture electrolysers in its AM Green Technology & Solutions subsidiary; supplying about 6.5 GWs of electrolysers to AM Green Ammonia by 2030.
The first shipments of green ammonia will begin by late 2025 and will serve key OECD markets, including Germany, Japan, South Korea and Singapore.
Earlier in June, in Asia's largest equity round ever raised by any green energy company, Avaada Group had successfully closed $1.3 billion funding round bolstering its green hydrogen, green methanol, green ammonia, solar manufacturing and renewable power generation ventures.
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