RGREEN INVEST has invested a further €250m in Israeli developer Econergy to support its pipeline of EUropean renewable projects.
RGREEN INVEST will invest €87.5m in common equity to Econergy at a pre-money valuation of €350m, which will be used to strengthen the company’s pipeline development and growth plans.
In parallel, €163m worth of investment will directly support the construction of solar and wind projects across Europe, which includes RGREEN INVEST’s previous commitment of approximately €50m to support the construction of Econergy’s 92MW solar project in Parau, Romania, where construction began earlier this year.
The total €250m investment will be made through its INFRAGREEN IV and V funds.
Econergy will be providing Engineering, Procurement and Construction Management services (EPCm) for its European projects as well as Asset Management services for a minimum period of 10 years.
Econergy CEO Eyal Podhorzer said: “We are delighted with the investment from the INFRAGREEN funds and the expansion of our strategic cooperation with RGREEN INVEST. Our partnership dates back to 2016 and has steadily grown stronger due to the trust-based relationship between our teams, as well as the values and alignment of interests that have consistently supported it.
“This latest agreement highlights the growing confidence of investors in Econergy’s business model and growth plans, which in 2022 has seen us launch the construction of utility-scale solar and storage projects in four different markets.
“With a pipeline of 224 projects and development capabilities that are significant, while there is volatility in the market, we are ready to make the leap to reach this next milestone that will benefit all company stakeholders.”
Olivier Guillaume, CIO of RGREEN INVEST added: “This transaction strengthens our long-term relationship with Econergy and reflects our shared ambition to foster the growth of independent pan-European renewable energy producers and help them scale up their operations.”