Investors commit EUR 800m to CIP's next-gen energy transition fund

Copenhagen Infrastructure Partners (CIP) has accumulated EUR 800 million (USD 953.5m) in commitments for its latest fund that will focus on green energy infrastructure and decarbonisation projects.

Dubbed CI Energy Transition Fund I (CI ETF I), the fund will seek to raise a total of EUR 2.25 billion, the Danish group said on Monday. Through it, CIP will invest in renewable energy infrastructure assets, including Power-to-X and advanced biofuels, thus contributing to the decarbonisation of the transport and shipping industries, steel production and agriculture.

Western Europe, North America, Australia and Asian countries within the Organisation for Economic Co-operation and Development (OECD) will be the fund’s main locations for investment.

Capital commitments in the first round came from institutional investors and family offices from Denmark, Sweden and Germany, and Danish pension funds PensionDanmark and PFA. Danish wind turbine maker Vestas Wind Systems and CIP have also invested in the fund.

CI ETF I is expected to be fully subscribed within the next nine months.

Before reaching first close for CI ETF I, CIP has secured an “attractive portfolio” of industrial-scale development Power-to-X projects involving the production of green hydrogen, green ammonia and green methanol. The schemes are located in Denmark, Sweden, Norway, Spain and Australia.

Currently, CIP has eight funds with combined capital commitments totalling EUR 16 billion.

(EUR 1.0 = USD 1.192)

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