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GPSR Arya Raises Mezzanine Funding from Alternates by Axis AMC

2026-03-31

GPSR Arya, the asset platform of biofuels company GPS Renewables, has raised mezzanine funding from Alternates by Axis AMC to accelerate the development of compressed biogas (CBG) projects across India. The company said the capital will be deployed through its partnerships with public sector oil marketing companies including Indian Oil Corporation Limited and Bharat Petroleum Corporation Limited.

The funding comes at a time when India is strengthening domestic clean fuel alternatives amid heightened volatility in global energy markets. As a net importer of natural gas, India remains exposed to geopolitical disruptions, with recent instability in West Asia triggering trade challenges and contributing to rationing and price hikes of LPG cylinders in parts of the country.

CBG, globally referred to as Renewable Natural Gas (RNG), is produced from organic waste and relies on domestically available feedstock. The fuel is increasingly being positioned as a strategic alternative that can help reduce dependence on fossil fuels while supporting decarbonisation goals and energy security.

“Recent developments in the global energy market have highlighted the need and importance of building domestic fuel alternatives. CBG offers a unique advantage for India, given the abundance of locally available feedstock that can support the development of large-scale biofuel infrastructure. This deal reflects growing institutional recognition of biomethane and CBG both as a clean energy opportunity and as a strategic energy security asset,” said Mainak Chakraborty, CEO and Co-Founder, GPS Renewables.

Parag Parikh, CEO, GPS Renewables Arya, said the company is focused on scaling biogas infrastructure across multiple feedstocks and geographies. “Through the Arya platform, our priority is to accelerate the development of biogas projects across the country by expanding capacity across multiple feedstocks and geographies. This funding will play a key role in building a nationwide network of CBG plants that can contribute toward reducing fossil fuel dependence and lowering greenhouse gas emissions,” he said.

Nachiket Naik, Head – Structured Credit at Axis AMC, said, “The transaction, one of the first in the private credit space in the CBG sector, demonstrates Axis AMC’s commitment to deliver tailored solutions for emerging cleantech sectors.”

The transaction was advised by Elements Financial Solutions Private Limited, which supported debt structuring, lender engagement and documentation.

GPS Renewables said it is currently developing biogas projects with a capital outlay approaching USD 1 billion and is also expanding into alternative fuels such as Sustainable Aviation Fuel (SAF). The company’s notable projects include Asia’s largest MSW-based CBG plant in Indore, the world’s fastest-executed CBG plant in Barabanki, and the upcoming world’s largest CBG complex in Kakinada (~67–70 TPD).

The company’s pipeline includes over 30 operational or near-complete projects, with visibility on more than 200 CBG projects under development in partnership with oil marketing companies.

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