The Escallonilla Norte y Sur solar farm, part of Foresight's existing Spanish PV portfolio. Image: Foresight Group.
European investor Foresight Group expects to “rapidly” deploy the proceeds of its latest fund raise, targeting renewables, flexible infrastructure and grids across Europe.
This morning, Foresight confirmed that its new Foresight Energy Infrastructure Partners (FEIP) fund has secured €342 million (US$377 million) in commitments from institutional backers including DNB, the European Investment Bank and IMAS Foundation, which is a sister foundation of IKEA owner INGKA.
Foresight said it has already amassed an “extensive pipeline of investment opportunities” throughout Europe, stating that it expected to “acquire assets rapidly”.
Indeed, around €275 million (US$303 million) of the initial raise has already been earmarked for acquisitions.
The fund will acquire assets in three categories, namely renewable generation, flexible ‘renewable-enabling infrastructure’ such as batteries, and transmission and distribution assets.
Foresight has extensive expertise in those areas, with more than 2GW of generation under ownership. Some 1.3GW of that is solar, the majority of which is located in the UK. It also manages around 170MW of reserve power assets and three large-scale battery storage projects providing frequency response services to the UK’s electricity system operator, National Grid.
While not explicitly mentioned in today’s statement, Foresight has had a long-standing interest in Spain’s thriving PV market, snapping up a 50MW subsidy-free project in Andalusia last May which forms part of a 116MW-strong portfolio of subsidy-free solar farms Foresight holds in Iberia.
Dan Wells, partner at Foresight Group, said FEIP’s strategy had been designed specifically “in the context of the evolving energy infrastructure sector”.
“While we are delighted with the commitments secured for the first closing, the team’s focus is on the future and the rapid deployment of FEIP into a high-quality asset portfolio,” he added.
Foresight director Carlos Rey Micolau is among the list of speakers at next week’s Solar Finance & Investment Europe conference, organised by PV Tech publisher Solar Media. A limited number of tickets are still available for the event, held at London’s Victoria Park Plaza, and can be purchased here.
Jun 15 - Jun 16, 2021
The Utility Solar Summit UK will focus entirely on the opportunities in the UK ground-mount space and feature the new technology and advanced innovations allowing asset owners to improve yield in a subsidy free market. Listen to senior market leaders share stories of their successes and manufacturers pushing the envelope for solar PV whilst taking advantage of our enhanced networking features to connect you with your peers onsite; realising the potential of UK utility scale deployment from 2020 and beyond.
Feb 03 - Feb 04, 2021
The business of solar is changing, as the industry scales up, technology, IT and new players to the market will add complexity. This sparks a host of opportunities such as co-location of solar and storage and the rise of unsubsidised solar projects as well as challenges which will question the very business model of European solar asset owners. Solar Finance & Investment Europe is the meeting place for institutional investors, sovereign wealth funds, solar, wind and storage funds and large energy buyers to do business.