Cleantech Startup Hygenco Raises $25 Mn Funding From Neev II Fund

Neev II fund has invested $25.4 Mn in renewable energy semiconductor startup Hygenco. 

Founded in June 2021, Neev II Fund is a private equity fund. Through this fund, Neev plans to back companies offering diverse solutions including clean energy, electric vehicles (EV), efficient usage of raw materials and managing water and circular economy projects in India.

The Neev II and Neev I funds are managed by SBICAP Ventures. Both funds are backed by domestic investors SIDBI, SBI Group and the SRI Fund and international investors such as the UK government’s FCDO, Japan International Cooperation Agency (JICA) and the European Investment Bank (EIB). 

The Neev Fund I, which launched in 2015, backed 10 startups operating in diverse sectors such as clean energy, agri supply chain and social infrastructure. 

“Renewable sources of energy like green hydrogen are important tools in our collective efforts to tackle climate change. The UK and India agreed to collaborate on green hydrogen initiatives as part of our Roadmap 2030 agreement,” said Alex W Elis, British High Commissioner to the Republic of India.

On the other hand, launched in 2020 by Amit Bansal, Anshul Gupta and Aashish Gupta, Hygenco offers green hydrogen and green ammonia-enabled industry solutions. 

Hygenco said that it develops and uses green hydrogen and green ammonia production assets. Further, it uses in-house experts in developing renewable energy, creating gases and project financing, according to its website.

“We are about to embark on a breakthrough journey that will change the way commercial customers consume hydrogen, with our mission to deliver 100% green hydrogen. We are excited about partnering with Neev II,” said Amit Bansal, cofounder, and CEO of Hygenco.

Hygenco said that it aims to invest more than $300 Mn in building green hydrogen projects across India in the next three years. It will further use the fresh capital to commercialise its pipeline. 

According to the startup, India’s green hydrogen mission aims to provide 5 Mn tonnes of green hydrogen manufacturing capability by 2030. It will support decarbonisation especially in industries such as steel, refining and commercial transportation. 

As per a report, India’s hydrogen market was pegged at $50 Mn in 2017. The industry is likely to become a $81 Mn space while expanding at a CAGR of 6.3% by 2025. 

h2e, ReNew Power and NewTrace are some of the Indian startups that are producing hydrogen in the country.