Italian fund manager Prelios Sgr is joining forces with energy specialist TerniEnergia to launch a new fund for Italian institutional investors.
Italian fund manager Prelios Sgr is joining forces with energy specialist TerniEnergia to launch a new fund for Italian institutional investors.
The closed-end fund, entitled ‘RA’, will invest in assets in the renewable energy sector, with a particular focus on renewable energy plants.
The 20-year speculative fund will be placed and managed by Prelios and has an initial equity raising target of between €50 mln and €100 mln.
In a statement Prelios added that the fund ‘may reach an LTV of 80%’.
As part of the agreement, TerniEnergia will initially transfer approximately €75 mln worth of renewable energy plants into the fund.
Prelios said that the new fund represented ‘a significant strategic diversification in sectors close to the real estate industry with a high growth rate and the capacity to generate steady cash flows for investors.’
Prelios currently holds some €4.3 bn of assets under management.