AIP Management is acquiring a 49% equity stake in a 700MW UK battery energy storage system (BESS) portfolio from BW ESS.
The €8bn infrastructure fund manager said it has agreed to buy the interest in the portfolio that includes the operational Bramley asset and the Hams Hall and Berkswell assets, which are under construction, marking the AIP’s first dedicated investment in standalone battery storage.
Global energy storage owner BW ESS, which will manage construction and operations across the portfolio, will retain a 51% stake in the assets located in the Midlands and South-East of England.
Erik Strømsø, CEO of BW ESS, said: “We are delighted to welcome AIP as our partner in this strategically important portfolio. We see strong alignment in our approaches and a shared ambition to deliver storage assets at scale.
“With AIP’s infrastructure expertise and long-term perspective alongside our operational capabilities, we are confident this partnership will support the UK’s energy transition and provide lasting benefits to both parties.”
Greg Falzon, partner and co-head of investments at AIP, said: “This investment reflects our conviction in the UK energy-storage market and builds on the knowledge we have developed through our existing investments in co-located BESS.
“We are very pleased to form this partnership with BW ESS, which brings highly complementary industrial expertise and operational capabilities to our investment approach. Together we will deliver long-term value while enabling the deployment of critical flexibility in the UK power system.”
Nordic financial group Storebrand owns a 60% stake in AIP, which was founded by Danish pension provider PKA and is also backed by fellow Danish pension fund PenSam.
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