Funds raised by the investment round will be used to help finance the company’s energy projects underway in India and Brazil, including hydro power schemes.

Earlier this month Velcan announced the start of construction of the 14.7MW Rodeio Bonito hydro plant in Brazil. In the country it has a total of 74MW in concessions, including the Rio das Mortes scheme, and in India the comparable total capacity to be built is 359MW, with projects underway in Orissa and Arunachal Pradesh states.

In a statement, managing director Antoine Decitre, said: ‘We are one step further on the financing and building of all our hydroelectric concessions. This fund raising will also help us in securing a number of concessions that we are negotiating.’

Velcan Energy has more than Euro 100M (US$140.7M) in cash in its balance sheet following the investment round.

The two week book-building period ended 23 September with a subscription price set at Euro 38 per share and just over 1.58M shares were issued, equal to 21.77% of the company’s capital after the private placement.

Dexia Bank in Europe and NBD-Investment Bank in the Middle East led the private placement with qualified investors.

The resumption of the listing of existing shares commenced yesterday on Euronext, and following the settlement of the new shares they also will be listed in the next few days.