Energy Capital Partners (ECP), an investor in power transition, electrification and decarbonisation infrastructure assets, has raised over $4bn for its latest fund.
At final closing of its fifth flagship equity strategy, ECP V (Fund V), total capital commitments reached $4.4bn, exceeding the initial $4bn target by 10%.
ECP also raised an additional $2.3bn of co-investment capital, reflecting the “strong and continued support” for its flagship equity strategy.
Fund V will continue ECP’s investment strategy of “transforming attractive and growing companies” in power generation, renewable and storage assets and critical sustainability and decarbonisation infrastructure.
Earlier today, ECP announced the $2.6bn (equity value) take-private of Atlantica Sustainable Infrastructure, a diversified renewable and power platform with assets located primarily across the US and Europe.
Upon closing, this will represent Fund V’s eighth investment in two years totalling approximately $2.2bn of capital committed (or $4.4bn when including co-investment).
“ECP’s continued success is a testament to the strength of our proven strategy, growing demand for reliable, affordable, and clean energy, as well as the hard work of our team,” said ECP founder and senior partner Doug Kimmelman.
He added: “The electricity sector is transforming into a major growth area for both the US and global economy, with forecasts projecting that electricity demand will skyrocket by 1.5-2.0x over the next 15 years from current levels.”
Commitments to Fund V were secured from a broad mix of existing and new investors across the globe, including public and private pensions, insurance companies, asset managers and family offices.