European asset manager Golding Capital Partners has launched a €300m fund to build a portfolio of solar, wind and storage assets by the end of 2024.
Golding Energy Transition 2022 will consist of around 10 funds and up to 20% co-investments.
The focus will be on European (60%) and North American (40%) investments that span solar, wind, energy storage and other technologies that “enable and advance” decarbonisation and the energy transition.
The investments will be split roughly half-and-half between brownfield and greenfield projects.
Golding is planning a target return of 6-7% net internal rate of return (IRR) a year and a first closing before the end of 2022.
“At a time of record inflation, investors appreciate the stability of infrastructure investments that provide essential services and benefit from the tailwinds generated by the megatrends in our society, such as energy transition”, said Jeremy Golding, Founder and Managing Partner of Golding.
“This is just our starting point, we will be allocating additional capital to vital renewable energy projects with experienced portfolio fund managers with excellent track records.”
“The diversification of a global portfolio is a clear focus for our new fund. We anticipate that it will consist of between 100 and 150 individual transactions, broadly spread across different regions, energy sources, fund managers and asset lifecycles.”
Golding Energy Transition 2022 is structured as a Luxembourg-based “Reserved Alternative Investment Fund” in accordance with Article 8+ (“light green plus”) of the Sustainable Finance Disclosure Regulation (SFDR).
It is open to institutional investors committing a minimum of €5m and has a life of 15 years plus one optional extension.