According to reports, Global investment firm Bessemer Venture Partners will spend 20 crore to incubate CleanMax Enviro Energy Solutions (CMES), a Mumbai-based power generation start-up.
CMES is founded by Kuldeep Jain , a former partner at McKinsey who left the consulting firm to start this company. Jain plans to use gas-based power and cooling solutions to offices and shops in India. The US-based investment firm will infuse 20 crore to incubate the company.
Rob Chandra , managing partner at Bessemer Venture Partners, declined to comment on the development. “We neither confirm nor deny any speculation,” said CMES’ Jain.
A senior executive of another power firm familiar with the talks said Bessemer’s funds will help the start-up generate power across commercial buildings, data centres, hotels, hospitals and IT parks.
“Bessemer is financing CMES’ start-up operation its first few projects,” the person added. Building owners now pay high tariff rates to secure electricity or incur high costs to providing back up diesel generated power. CMES plans to offer them an alternative by installing natural gas turbines for generating electricity inside or adjacent to the building.
“It will then sell the energy to the buildings’ tenants under long-term contracts,” said a senior executive in the real estate firm on condition of anonymity. CMES has just started its operations and has less than 10 employees.