Aquila European Renewables Income Fund has entered into an agreement to acquire 50% of the equity in a 60MW solar farm in Portugal.
The transaction for a share in the unlevered operating asset Ourique is expected to close in April 2021.
Ourique is located in Alentejo, Portugal and started operations in December 2019.
Its power price hedges cover 100% of the produced energy until March 2026.
Upon completion of the acquisition of Ourique, Aquila will have committed 92% of the capital raised to date in a mix of operating and construction assets in six European countries.
Together with the other solar projects Benfica 3 and Albeniz, Ourique adds to the technology diversification targets of Aquila and strengthens the fund’s presence on the Iberian Peninsula.
Ian Nolan, chairman, said: “We are pleased to announce that we have committed nearly all of the equity raised in October 2020 within five months.
“Ourique will contribute to reducing Europe’s carbon footprint, and it further diversifies our technology mix.”