Ecofy Finance is set to raise about Rs 380 crore in a Series B round led by British International Investment, underscoring growing investor interest in India’s green finance sector as the country accelerates adoption of renewable energy and electric mobility.
Major investors commit to growth round
Regulatory filings show Ecofy’s board has approved the issuance of equity and over 38 crore Series B preference shares to secure the funding. BII, the UK government–backed development finance institution, is expected to lead the round with a proposed investment of around Rs 220 crore.
Other participants include Finnfund Digital Access Impact Fund, which is likely to put in about Rs 70.5 crore. Dutch development bank FMO is expected to invest Rs 65 crore, while promoter Green Growth Equity Fund, managed by Eversource Capital, plans to contribute roughly Rs 25 crore.
Post-round valuation of Ecofy is estimated near Rs 800 crore, reflecting strengthening investor confidence in firms focused on climate and sustainability finance in India.
Expanding lending to sustainable technologies
Ecofy operates as a climate-focused non-banking financial company (NBFC) that finances environmentally sustainable technologies. Its lending portfolio covers electric vehicles, rooftop solar installations, energy-efficient equipment, battery storage, waste-management solutions and water sustainability projects.
The fresh capital will be deployed to expand lending capacity, broaden geographic reach and support more businesses and consumers seeking to transition to low-carbon technologies.
Financial performance and context
Ecofy reported sharp revenue growth, with income rising to Rs 93.3 crore in FY25 from Rs 19.19 crore in FY24, signalling strong market demand for green financing products. Concurrently, the company widened its losses to Rs 42.28 crore as it invested in scaling operations and technology.
The fundraising comes amid heightened global focus on climate finance and India’s ambitious renewable energy targets. Financial players such as Ecofy are increasingly seen as critical intermediaries in financing the country’s shift toward sustainable infrastructure and electric mobility.
