NextEnergy Capital has announced the third close of NextPower UK ESG, which builds unsubsidised new-build solar plants in the UK.
The £595m (€670m) fundraiser has exceeded its target of £500m and is working towards its hard cap of £1bn, capturing the positive momentum behind the fund.
The third close has been achieved six months after the fund’s first close in August 2022 and two months since its second close in December 2022.
This close of NPUK ESG is comprised of commitments from multiple investors.
These included Border to Coast Pensions Partnership and an existing institutional investor topping up their allocation.
The remaining committed capital came from the UK Infrastructure Bank, which has now fully committed £250m into NPUK ESG.
NextEnergy Group founding partner and chief executive Michael Bonte-Friedheim said: “NPUK ESG continues to go from strength to strength and is actively accelerating the deployment of utility scale solar in the UK, providing additional renewable energy capacity, and increasing the UK’s energy independence.
“NextEnergy Capital leads the global solar sector in offering innovative access to opportunities identified by a true solar specialist.
“The momentum is a testament to the NEC’s deep knowledge and detailed preparation, leading to the rapid deployment of capital into our funds.
“We are expecting to conclude further acquisitions in the near future which will significantly increase the fund’s commitments.”
From the fund’s proprietary project pipeline, NEC has already acquired its first five utility-scale solar assets totalling 269MW, of which two are operational.
The fund has deployed capital rapidly, with the first drawdown being seven weeks after the first close.