Encavis, BayernLB join hands in EUR-500m renewable energy fund

The Budel solar park. Image by: Solarcentury (www.solarcentury.com).

September 29 (Renewables Now) - The asset management unit of German renewables operator Encavis AG (ETR:CAP) and Munich-based bank BayernLB have set up a second special fund that will focus on renewable energy investments across Europe.

The Encavis Infrastructure Fund IV (EIF IV) will seek to raise a total of EUR 500 million (USD 585.3m) to invest in onshore wind and solar power generation plants, Encavis Asset Management said on Wednesday. Its investors will be credit institutions. The annual distribution will be around 5% on average over the 25-year lifetime of the fund.

Encavis will take care of the selection, auditing and management of the solar and wind farms for EIF IV, while BayernLB will be responsible for the fund distribution and investor support. BayernInvest Luxembourg SA will be the fund manager.

EIF IV's predecessor, the Encavis Infrastructure Fund II (EIF II), achieved a EUR-480-million final equity closing at the end of 2020. The initial volume sought to be raised was EUR 200 million, but it was doubled in line with the high demand. According to Encavis’ estimates, the fund will be able to realise investments in wind and solar assets of over EUR 1 billion.

Earlier this week, Encavis Asset Management acquired a 74.5-MW portfolio of wind parks in France from Axpo Holding AG on behalf of the EIF II special fund.

(EUR 1.0 = USD 1.171)

More stories to explore
Share this story
Newsletter
Tags
 
About the author
Browse all articles from Veselina Petrova

Veselina Petrova is one of Renewables Now's most experienced green energy writers. For several years she has been keeping track of game-changing events both large and small projects and across the globe.

More articles by the author
5 / 5 free articles left this month
Get 5 more for free Sign up for Basic subscription
Get full access Sign up for Premium subscription
\