US-based investment firm KKR has agreed to invest $450m in Indian energy company Hero Future Energies (HFE), the renewables arm of Hero Group, to expedite its growth.

Established in 2012, HFE is an independent power producer (IPP) with a 1.6GW solar and wind project portfolio.

The company operates across India, Bangladesh, Vietnam, Singapore, Ukraine and the UK.

HFE will use KKR‘s investment to increase its renewable energy generation capacity across various technologies, including battery storage, green hydrogen, solar and wind.

The investment will also be used to expand HFE’s operations into new markets.

HFE Global CEO Srivatsan Iyer said: “KKR’s investment will drive Hero Future Energies’ growth in the rapidly growing renewable energy markets domestically and globally, as well as in new technologies such as battery storage, solar-wind hybrid projects, round-the-clock power, and green hydrogen, among others.

“This partnership is also a validation of our core strengths and capabilities in design and engineering, development and project execution, while achieving excellence in health, safety and environment standards.”

KKR partner Hardik Shah said: “Hero Future Energies is a pioneer in India’s renewables sector, and has a strong track record of delivering innovative clean energy solutions to support India’s renewable energy ambitions.

“HFE’s clean energy solutions play an important role in helping companies decarbonise as energy demands continue to grow.

“We look forward to working closely with HFE’s management team and existing investors, including the Hero Group and IFC, to help HFE achieve its next phase of growth and contribute to the energy transition efforts in India and globally.”

Based in New York, KKR provides alternative asset management, capital markets and insurance solutions for energy and other industries.

In May this year, the company announced plans to acquire British power generation company ContourGlobal for £1.75bn ($1.98bn).