Independent alternative asset manager Prime Capital has raised €1bn to invest in European renewable energy projects.
The frim said the total amount raised by Prime Green Energy Infrastructure Fund (PGEIF) II at its latest close includes €360m of co-investment capital.
Prime Capital said the fundraising is nearly complete, having exceeded its €1bn target with the support of around 60% existing investors and 40% new investors.
PGEIF II, which is targeting a net internal rate of return of 10% to 12%, focuses on renewable energy projects across Europe, with a particular emphasis on Scandinavia.
The fund has already secured a pipeline of projects, with a focus on battery storage and energy generation, the manager said.
Mathias Bimberg, head of infrastructure at Prime Capital, said: “Our greenfield build-to-core strategy, coupled with achievable economies of scale and the region’s excellent wind resources, enabled us to achieve attractive returns on investment.
“With our second fund, we will continue to focus on this region, and will also invest in strong wind and solar regions across Europe and place an emphasis on investments in battery storage. We see significant return potential here if these battery storage facilities can be made available in a timely manner.”
Werner Goricki, CIO at Prime Capital, said: “Our proven set-up enables us to invest across the entire energy infrastructure value chain, including energy generation, energy storage and energy transition technologies. Over time, we have established collaborations with various first-class partners and service providers who further support our approach.”
Andreas Kalusche, CEO of Prime Capital, said: “We are very pleased that, despite the continuing challenging fundraising environment, we have exceeded our target of €1bn, including co-investments, with the eighth closing of our fund.
“It is particularly gratifying that we have been able to gain the support of several large European investors and supra-nationals, as well as foreign investors from other countries.
“A total of 17 investors, some with various subsidiaries, placed their trust in us. Above all, our integrated approach to a modern energy infrastructure chain convinced investors.”
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