Arctic Green Energy focuses on the decarbonisation of the building sector and has a geothermal partnership with China's state-owned oil giant China Petroleum & Chemical Corp.

The funds would help Singapore-based Arctic Green Energy launch new projects and ramp up its capability in geothermal energy, which is derived from hot underground springs and is a greener alternative to using fossil fuels for heating and cooling.

JP Morgan acted as the sole placing agent for the deal.

(Reporting by Anushka Trivedi in Bengaluru; Editing by Aditya Soni)