Copenhagen Infrastructure Partners (CIP) has reached final close on its new fund, CI Energy Transition Fund I (CI ETF I) to support the development of green hydrogen.
The fund was oversubscribed and closed at the hard cap of €3bn, according to CIP.
This makes CI ETF I the largest dedicated clean hydrogen fund globally, it said.
CI ETF I will invest in next generation renewable energy infrastructure including industrial scale Power-to-X (PtX) projects and enables institutional investors to participate in the decarbonization of the so-called hard to abate industries and support the further integration of renewable power generation in the energy mix through grid balancing.
The fund will primarily focus on greenfield projects in the OECD and aims to contribute to the decarbonization of industries such as agriculture, aviation, shipping, chemical manufacturing, and steel production through the use of green fuels and feedstock and CO2-free fertilizers.
CI ETF I achieved commitments from investors across the Nordics, Europe, Asia-Pacific and North America with approximately a 50/50 split between existing investors in CIP funds and new investors.
The fund’s investor base comprises approximately 65 institutional investors, primarily pension funds, life insurance companies, sovereign wealth funds, asset managers, and family offices.
CIP managing partner Jakob Baruël Poulsen said: “We are very pleased to welcome a prominent group of existing and new institutional investors to CI ETF I and are delighted that investors share our confidence in and appetite for clean energy infrastructure projects and invest alongside CIP in the next phase of the energy transition.
“Solutions such as Power-to-X will be key for countries and industries to take the next big leap within reaching the commitments of the Paris agreement and achieving energy independence.
“As an industry pioneer and one of the global market leaders in greenfield renewable infrastructure investments, CIP is uniquely positioned to invest in this segment.”