Excelsior Energy Capital raises over $1bn for renewables fund

North American renewable-energy investor Excelsior Energy Capital has raised over $1bn (€911.6m) for its latest fund, exceeding its original $750m target.

The Excelsior Renewable Energy Investment Fund II invests equity in solar, energy storage, wind and other energy-transition projects across the US.

Excelsior said Fund II, anchored by the Development Bank of Japan, attracted a diverse group of limited partner investors from the US, Japan, Europe, Australia and the Middle East. The fund received significant support from returning investors from Fund I and includes a mix of institutional capital, such as pension plans, insurance companies, fund-of-funds, diversified asset managers, endowments and family offices.

Excelsior’s Fund I, closed at $504m in 2021, and has been fully invested in 16 wind, solar and storage assets.

Chris Moakley, managing partner of Excelsior Energy Capital, said: “We’re proud to build on the success of our inaugural fund and grateful for the trust our investors have placed in us.

“Fund II allows us to continue executing on our disciplined investment strategy while expanding into select energy transition infrastructure opportunities. With a high-quality portfolio of solar and battery storage projects already under way, we look forward to delivering strong returns while supporting the global shift toward cleaner, more resilient energy systems.”

To date, Fund II is over 50% deployed, with capital committed to 15 investments, including solar and battery energy storage projects representing a combined 2.25GW of generation capacity. Excelsior has also established Lydian Energy as its first portfolio company under Fund II.

Alex Ellis, co-founder and partner of Excelsior Energy Capital, said: “Exceeding our target, especially in this fundraising market, is a great outcome. The success of our Fund II fundraising is a testament to the strength of our investment strategy, the performance of our team, and the growing demand for sustainable infrastructure.

“We are deeply indebted to our limited partners for their support and the confidence they have in our ability to deliver on their respective investment plans.”

Shunsuke Motai, SVP at Development Bank of Japan, said: “We are proud to support Excelsior Energy Capital as a trusted manager with a strong investment track record and deep commitment to accelerating the energy transition.

“Excelsior’s experience and disciplined investment strategy align well with Development Bank of Japan’s long-term investment priorities in the renewable-energy sector.”

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