Modus Asset Management’s renewable energy fund has raised €85m in investor commitments in its first closing.
The newly launched Clean Energy Infrastructure Fund, a closed-end investment fund for informed investors, was led by European Investment Fund and Baltic pension funds.
Clean Energy Infrastructure Fund will invest in solar PV and wind energy projects, as well as co-located battery storage.
Total installed capacity of the fund’s portfolio is expected to reach 600MW and will target opportunities in the Baltic States, Poland and other Central European countries.
The fund’s investment period is five years, and its life cycle is 10 years.
The fund has a target size of €200m and hard cap of €350m and will target projects in late-development and ready-to-build stages, as well as turnkey transactions.
Modus Asset Management chief executive Povilas Pečiulis said: “Clean Energy Infrastructure Fund aims to accelerate the region’s transition to renewable energy by empowering local renewable energy developers and creating an institutional-level investment platform.
“Commitments from the European Investment Fund and Baltic institutional investors allow us to expand the region’s renewable energy capacity further and significantly contribute to accelerating this process.
“By qualifying as a Dark Green fund, we will not only provide attractive investment opportunities for institutional investors, but will also contribute to creating a better environment and encourage other market players to move in this direction.”