AST is promoted by professionals who have experience in the telecom, semi conductor and solar related sectors. The founders are Vinod K Agarwal, Kapil Kathpalia, and Neeraj Saxena. Bessemer Venture Partners, a reputed private equity firm, is an investor in the company.

AST plans to install its solution in about 10,000 telecom tower sites in next few years. IFC is considering an investment of a total of up to $21 million in the Company in a combination of equity and debt.

21.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	15.0
Equity	6.0

* These investment figures are indicative

AST’s projects will be at multiple sites in primarily rural areas of India’s states of Bihar, Uttar Pradesh, Orissa and Rajasthan.

The Project will have strong development impact by way of development of off-grid renewable energy through solar power. It will contribute to climate change mitigation by reduced use of diesel fuel which has detrimental environmental effects. Further, the Project will result in employment opportunities during both implementation and operations in remote areas. It will also contribute to government revenues by way of taxes and reduced use of subsidized diesel fuel.

IFC has a strong role in this early stage project through the following: a. Early stage investment in a niche business model: IFC's investment will help AST raise additional equity and debt financing required to implement its business plan. b. Catalyst for future debt financing: AST intends to large amount of debt and equity to complete its expansion plan of the next few years. While the company has been able to attract venture capital investors, availability of debt is key to the successful rollout of the Company while ensuring adequate returns for the investors. The Company does not currently have banking relationships in India and it believes that an association with IFC at this early stage will give it the visibility to attract local banks as well as export credit agencies whose support will be vital for implementing its business plan. c. Knowledge Sharing: The sponsors have welcomed the benefit of IFC's experience and knowledge in the power sector particularly solar both on downstream and manufacturing side. The sponsors expect to leverage IFC's relationships with solar equipment manufacturers as they move forward in their business plan. d. IFC's stamp of approval: IFC's investment will provide AST a vital "stamp of approval" which will help it in its dealings with potential clients as well as attract future investors and lenders.

This Corporate Investment in AST is a Category C project because minimal adverse social and environmental impacts may result, which can be avoided or mitigated by adhering to generally recognized performance standards, guidelines or design criteria. AST''s projects result in positive environmental outcomes due to more than 50% reduction in diesel generator (DG) operating hours at each of the telecom tower sites. Besides greenhouse gas emission reduction through replacement of diesel energy by solar energy, the reduced DG operation also results in reduced emission of particulate matter, sulphur di-oxide and oxides of nitrogen. Further, lower DG operating hours will also result in reduced maintenance, reducing transportation, handling and storage of hazardous materials and hazardous wastes.

AST''s sponsors are also aware of the social and environmental risks and impacts associated with their projects and operations, even though these may be considered minimal. The Company will address these identified risks and impacts through delineation and enforcement of a set of contractual requirements as also standard operating procedures including those pertaining to: compliance with all applicable social and environmental laws; human resource policies and labor working conditions both for employees and contract workers engaged at AST project sites; safe aggregation, handling, storage, transportation and disposal of hazardous materials and wastes; safe operation and maintenance of the facilities; community interactions; periodic audit and processes for obtaining assurance; and internal as also external reporting of social and environmental performance.

AST will manage its environmental and social performance in accordance with applicable local laws and regulations and international standards including IFC Performance Standards on Social and Environmental Sustainability.