Macquarie Asset Management is expanding its presence in the solar sector with the acquisition of a stake in a UK-based renewable energy developer. 

Macquarie has agreed to buy a 50% stake in Island Green Power through its Macquarie Green Investment Group Renewable Energy Fund 2 (MGREF2).

Macquarie said it will invest alongside Island Green Power’s current shareholders and senior management team, who will all remain invested in the business, without disclosing any financial details.

Island Green Power is primarily focused on the development of utility-scale solar plants and has a pipeline in the UK and Spain, amongst other developed economies.

Macquarie said MGREF2 – the fund which raised more than €1.6bn last year –  has also agreed to invest an undisclosed amount to buy a stake in a ready-to-build 65MW solar project located in Suffolk, UK, from Island Green Power.

The latest deal expands the MGREF2 fund’s solar portfolio which includes the latest investment, having recently acquired Apex Energies in France and Reden Solar a company that develops, finances, builds and operates solar power plants across Europe and Latin America.

David Tilstone, a managing director at Macquarie Asset Management, said: “Island Green Power has a strong track record of delivering successful solar projects, particularly in the UK. We are delighted to support Island Green Power as it continues to expand its pipeline of projects across the globe, and we are excited to take their Suffolk solar development project forward.”

Ian Lawrie, CEO of Island Green Power, said: “Over the past decade our business has grown from being a UK-focused solar developer to become one of the major International solar developers with operations in five markets.

“With Macquarie’s support to further accelerate our growth ambitions, we are well-positioned alongside our investment partners to play a leading role in the energy revolution and deliver long-term energy security. Macquarie’s expertise in the renewable energy sector will also be instrumental in supporting the development of our current and future solar and battery projects.”

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