Dutch civil service scheme ABP is making a $400m (€373m) equity investment into US renewable energy and storage projects company Doral Renewables.
APG, the asset management arm of Netherlands’ largest pension fund ABP, is making the investment for a minority stake in Doral Renewables and will also provide its “pro rata share of corporate credit support and funding” of up to an additional $185m of capital over time to the independent power producer.
Doral Renewables, which specialises in partnerships with farming communities across the US, develops, owns and operates renewable energy and storage projects. The company’s 13GW project pipeline includes 1.35GW of projects under construction and around 2 additional GW of mature projects slated to start construction within the next 12 months.
The investment by and partnership with APG will help accelerate the development and construction of the firm’s energy pipeline.
Steven Hason, managing director and head of Americas real assets at APG, said: This investment on behalf of ABP is very well aligned with our joint ambition to contribute to the energy transition globally.
“We look forward to expanding our renewables portfolio and to working with Doral Renewables, a like-minded partner.”
Nick Cohen, CEO of Doral Renewables, said: “In addition to the environmental benefits which our assets provide to the country, APG’s investment and stewardship will enable Doral Renewables to continue its efforts to standardise the “social” element of our Environment, Social and Governance (ESG) strategy by bringing traditional farming back through agrivoltaics.
“APG and Doral together believe that renewables can improve the environment, preserve the family farm and be a strong business proposition for all of our stakeholders.”
Evan Speece, CFO of Doral Renewables, said: “We are thrilled to welcome APG as a partner and now the largest individual shareholder in our company.
“APG’s sophistication as an investor and its experience in the US renewable energy market will, together with the strength and support of our existing partners, continue to propel our success.
“With over 3GW of projects in the process of being commercialised over the coming few years, we are excited to enter this next phase of growth with APG’s backing.”
To read the latest IPE Real Assets magazine click here.
