Investment firm KKR is investing up to A$603m (€356m) in HMC Capital’s Australian energy-transition platform, which manages 652MW of operational assets.
The platform also has a 5.7GW development pipeline, mainly focused on battery energy storage systems and wind energy projects.
KKR, which is investing through its global climate transition strategy, said the investment will support the platform’s continued expansion, including the development of new battery storage and wind projects “critical to grid reliability and Australia’s energy transition”.
David Di Pilla, HMC Capital MD and CEO, said: “KKR’s investment validates the quality of the platform we have built and sets the foundation for HMC to play a major role in Australia’s transition to net zero carbon by 2050.
“KKR’s capital will enable the platform to materially grow operating capacity, cash flow and progress the strategically valuable development pipeline.”
Neil Arora, partner and head of KKR’s climate transition strategy for Asia, said: “As renewable generation in Australia continues to expand, the country’s energy system is at a pivotal moment. Delivering Australia’s ambition will require investment in flexible infrastructure such as battery storage to keep the grid secure and reliable.”
Julia Gillard AC, HMC Capital chair of energy transition platform, said: “The introduction of KKR as a strategic partner marks a pivotal step in the platform’s ambition to build a world class renewables business which can play a major role in helping Australia achieve its clean energy commitments.
“In KKR, we are delighted to have a collaborator with deep global relationships and expertise to help the platform deliver on its goal to be a national champion of Australia’s transition to a net zero economy by 2050.”
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