Proposed £100 million investment by GIC

15 March 2013

Greenko Group plc

("Greenko" or "the Company")

Proposed £100 million investment by GIC

Greenko, the Indian developer, owner and operator of clean energy projects, is pleased to announce a proposed £100 million investment in Greenko Mauritius Ltd ("GM") ordinary shares ("GM Shares"), by an affiliate of the Government of Singapore Investment Corporation Pte Ltd ("GIC"), one of the world's leading sovereign wealth funds.

Key highlights:

·; The funds will accelerate construction of Greenko's substantial power portfolio and take advantage of the currently attractive power opportunities in India, through the deployment of utility scale wind farms and Himalayan run-of-river hydro projects.

·; GIC is a long-established investor in the infrastructure sector. This investment reflects GIC's confidence in Greenko and the Indian renewable energy opportunity.

·; The GM Shares will in the ordinary course convert one for one into ordinary shares in Greenko at a price of 260p per share subject to final adjustment between 1 July 2015 and 30 June 2017. The initial investment is equivalent to a minimum of 19.5% of Greenko on a fully diluted basis.

·; The proposed investment is conditional on Greenko's shareholders approving certain resolutions at an EGM planned for 4 April 2013.

·; With this financing Greenko is now targeting approximately 2,000 MW of operating capacity in 2018, double the target for 2015.

Anil Chalamalasetty, Chief Executive of Greenko, commented:

"We are delighted to have attracted this significant investment from GIC that will help take us beyond our 2015 operating capacity target of 1,000 MW and sets us up for our new target of approximately 2,000 MW in 2018. This shows great confidence in Greenko's business model and its opportunity in the Indian power market. GIC's infrastructure investment capability will be a great addition to the platform."

-Ends-

For further information please visit www.greenkogroup.com or call:

Greenko Group plc

Anil Chalamalasetty +44 (0)20 7920 3150

Mahesh Kolli

Vasudeva Rao Kaipa

Mark Thompson

Arden Partners plc

Richard Day / Adrian Trimmings +44 (0)20 7614 5917

Tavistock Communications

Matt Ridsdale / Mike Bartlett +44 (0)20 7920 3150

About GIC

GIC is one of the world's leading sovereign wealth funds with well over US$100 billion under management. GIC was incorporated in 1981 and is wholly owned by the Government of Singapore, with the aim of achieving good long-term returns over a 20-year investment horizon, in order to preserve and enhance Singapore's foreign reserves. GIC was one of the key architects of the Santiago Principles and is one of the largest investment management organizations in the world, with over 1,000 people investing in a range of assets in over 40 countries. GIC's infrastructure portfolio is focussed on minority equity stakes in power generation, transmission and distribution, water utilities, and also in transport assets such as airports, seaports and highways.

About Greenko

Greenko is a mainstream participant in the growing Indian energy industry and a market leading owner and operator of clean energy projects in India utilising a de-risked portfolio of wind, run-of-river hydropower, natural gas and biomass assets. The Group is now focused on building new utility scale wind farms and run-of-the-river hydropower across India. Greenko intends to increase the installed capacity it operates by winning concessions to develop and build new greenfield assets, as well as making selective acquisitions which enhance shareholder value.

Greenko's portfolio is carefully planned and managed to ensure it offers investors diversification and spreads its risk across a number of projects that utilise various well-proven environmental technologies. The Company's goal is to reach 1,000 MW of operational capacity in 2015 and approximately 2,000 MW in 2018.

With a core belief in sustainability both operationally and environmentally, Greenko endeavours to be a responsible business playing an important role in the community beyond its role in the power generation industry. The Company maintains a continuous involvement in localised projects and community programmes which centre on education, health and wellbeing, environmental stewardship and improving rural infrastructure.

Greenko Group plc was admitted to trading on the AIM market of the London Stock Exchange (LSE: GKO) in November 2007.

Proposed subscription of £100 million by GIC

The Board of Greenko is pleased to announce that it has conditionally agreed with an affiliate of GIC, that GIC will invest £100 million in GM, the immediate subsidiary of Greenko, in the form of GM Shares. GIC is one of the world's leading sovereign wealth funds, with considerable expertise in long-term, infrastructure investment across the world. The subscription proceeds will be used to accelerate the Company past its original target of 1,000 MW in 2015 and establish the foundations for the next stage of Greenko's growth strategy to approximately 2,000 MW in 2018.

The terms of the subscription include the right for GIC to exchange shares in GM for an equivalent number of Ordinary Shares in Greenko in certain circumstances. Consequently, the subscription is conditional on the shareholders increasing the Company's authorised share capital and authorising the Company to allot and issue ordinary shares to GIC. A circular with the notice of an EGM will be sent to shareholders shortly detailing the terms of the subscription and seeking certain shareholder consents.

Background

Greenko's Board is delighted to have attracted a strategic investor of GIC`s stature to help develop its business and achieve its aim of becoming India's most successful clean energy developer and operator. Since its flotation in 2007, Greenko has built a profitable and highly attractive portfolio of run-of-river hydro, wind, biomass and gas assets. The Company now has over 2,000 MW of secured capacity that includes 309 MW of operating generating plant and 390 MW of projects under construction. Projects under construction include 188 MW of run-of-river hydro and 202 MW of utility scale wind farms. All these projects should be commissioned within the next two years, with further projects expected to begin construction this year.

Greenko provides detailed information on its active development pipeline and behind this is a much larger set of opportunities that the Company is continually assessing, in wind and hydro power. The Board believes the additional capital will unlock opportunities that should significantly enhance shareholder returns from its first 1,000 MW of capacity and put the foundations in place for the projects needed to reach approximately 2,000 MW in 2018. In particular, the Company intends to capitalise on the changing Indian power market by increasing the size and number of highly attractive hydro projects being developed in its three Northern Clusters (Himachal Pradesh, Sikkim and Arunachal Pradesh) and by moving to multi-MW scale wind turbines that should increase returns in India's low wind speed environment.

The backdrop for power in India remains positive, with demand continuing to outstrip supply and over the last five years, India's power market has developed significantly. This creates a unique opportunity for Greenko's portfolio of clean energy projects, which can now profitably sell power in most States at or below the price of conventional generation, helped by the fact that wind and run-of-river hydro projects are quicker to build and do not require the onerous permitting and infrastructure associated with conventional generation. The Board strongly believes that Greenko's diversified portfolio of projects is the most attractive long term asset in the Indian market.

While Greenko is on track for its 2015 target of 1,000 MW of operational capacity, there are many further opportunities to grow the business beyond that and improve returns from the first 1,000 MW. As a result, the Board believes the proposed investment by GIC not only adds another highly respected shareholder, it provides the Company with the capability to improve its return on invested capital, exceed its 2015 goal of 1,000 MW and put it on track for approximately 2,000 MW in 2018. The Group's current strategy is set out in more detail in the Interim Results announcement for the period ended 30 September 2012 which was published on 13 December 2012, and the Group expects to make further announcements on the substantive acceleration of its growth profile in the coming weeks.

Current operations

Greenko's assets are currently running in line with market expectations and the projects under construction remain on time and on budget. It is anticipated that Greenko's first utility scale wind farm, Ratnagiri Phase-1 (65.6 MW) should be commissioned in April 2013 and would attract an improved tariff of Rs5.80/kWh, plus the recently reinstated Generation Based Incentive (Rs0.5/kWh). Greenko's second utility scale wind farm, Basvanbagewadi Phase-1 (51.2 MW), currently has 24 MW of turbines up and remains on track for commissioning ahead of the monsoon.

Terms of the subscription

GIC will subscribe £100 million for the issue of GM Shares. The Subscription is conditional, inter alia, on passing certain resolutions at the EGM. The GM Shares do not carry any rights to a fixed dividend, or any entitlement to participate in any dividends or distributions made by GM. GIC will have the right in the ordinary course to convert one for one into ordinary shares in Greenko between 1 July 2015 and 30 June 2017.

Prior to GIC exchanging its GM Shares into Greenko ordinary shares there may be an adjustment to the number of GM Shares held by GIC under the adjustment agreement. The GM Shares initially subscribed for by GIC will be equivalent to no less than 19.5% of the fully diluted share capital of Greenko. Full details of the adjustment agreement will be set out in the Circular and GIC (and any person(s) it is acting in concert with) is limited to holding no more than 29.99% of Greenko's enlarged share capital at any time, with any balance held in GM Shares such that GIC is limited to a minority interest in GM at any one time.

GIC has normal minority protections for this type of investment, including the right to appoint up to two directors to the GM board and access to monthly management reporting.

EGM

A circular will be sent to shareholders shortly, giving full details of the subscription, the rights attaching to the GM Shares and calling an EGM. A copy of this will be available on Greenko's website (www.greenkogroup.com). Resolutions will be proposed at the EGM to enable GIC's subscription.

Recommendation

The Directors believe that the subscription is in the best interests of shareholders and intend to vote their shareholdings, which total 25.6 million shares (approximately 17.0% of the existing ordinary share capital in the Company), in favour of the resolutions. Furthermore, Aloe Private Equity, the Company's founding investor has confirmed to the Board its intention to vote in favour of the resolutions in respect of their holdings of 16.8 million shares (representing 11.2% of the existing ordinary share capital in the Company) as has TPG, which holds 12.1 million shares (representing 8.1% of the existing ordinary share capital in the Company). All the shareholders in GM have given their approval for this investment in principle, subject to final documentation.

Arden Partners plc and Macquarie Capital Advisers (India) Pvt Ltd were advisers to Greenko for the transaction.