KGAL ensures over 200 MW of Polish solar for impact fund via new JV

KGAL Investment Management announced today it has acquired a majority stake in a Polish renewable energy project pipeline to feed its KGAL ESPF 5 impact fund.

More specifically, the German investor has agreed to form a joint venture with Polish partner Lasuno, which is engaged in the development of solar and wind projects. The JV will launch with a pipeline that includes four early-stage solar projects surpassing 200 MW of total capacity and is planned to be expanded in the coming years to include additional solar and wind projects.

Lasuno will be in charge of developing the projects to a ready-to-build state after which KGAL ESPF 5, as a majority shareholder in the JV, will be able to select assets to be added to its portfolio. The first solar parks are seen to become shovel-ready by the end of 2025.

“KGAL has been active in Poland since 2019 because of the attractive framework conditions for renewable energy. First, the potential returns in Poland are above average, and second, we can achieve a particularly large impact with our solar and wind power plants by replacing GHG-intensive electricity generation,” commented Michael Ebner, managing director of KGAL Investment Management.

KGAL noted that this JV represents this impact fund’s fourth platform investment in an entire pipeline rather than a single asset. Its other investments are located in Germany, Italy, and Spain.

According to Florian Martin, managing director of KGAL Investment Management, the impact fund has significantly exceeded its return projections so far and is expected to achieve at least one further closing this year.

Choose your newsletter by Renewables Now. Join for free!