Renewable

January 6 (Renewables Now) - NextEnergy Solar Fund Ltd (LON:NESF), the listed investment company managed by NextEnergy Capital Group, on Thursday said it has inked its first co-investment deal for a 25% stake in a solar project in Spain.

The co-investment stems from NESF’s USD-50-million (EUR 44m) commitment, announced in June last year, into NextEnergy Capital’s private fund NextPower III ESG. NESF said its 25% stake in the Spanish solar project represents a total investment of EUR 10.6 million.

The project is called Agenor and is currently under construction in Cadiz, Spain, with commissioning expected in the first half of 2022. NextPower III ESG announced the project’s acquisition from solar products maker Q Cells in September 2021.

NESF said it will fund the co-investment from revolving credit facilities, while NextPower III ESG and another investor in the fund are funding directly the remaining 75% interest.

Agenor has a power purchase agreement (PPA) with a “high-credit counterparty” for around 70% of contracted volumes for an initial period of five years, according to the announcement.

"Co-investment opportunities can offer a unique, return-enhancing portfolio benefit and Agenor marks NESF's first co-investment with NPIII ESG and its first international investment outside of Italy,” said NESF chairman Kevin Lyon.

(USD 1 = EUR 0.883)

Join Renewables Now's free daily newsletter now!