Encavis, BayernLB join hands in EUR-500m renewable resource fund

• The asset management system of German renewables driver Encavis AG (ETR: CAP) as well as Munich-based financial institution BayernLB have actually set up a 2nd special fund that will certainly concentrate on renewable energy investments throughout Europe.

The Encavis Infrastructure Fund IV (EIF IV) will certainly look for to increase a total of EUR 500 million (USD 585.3 m) to buy onshore wind and also solar power generation plants, Encavis Asset Management stated on Wednesday. Its financiers will be debt establishments. The annual circulation will be around 5% generally over the 25-year life time of the fund.

Encavis will deal with the choice, bookkeeping as well as management of the solar and wind farms for EIF IV, while BayernLB will be accountable for the fund distribution and financier support. BayernInvest Luxembourg SA will be the fund manager.

EIF IV's precursor, the Encavis Infrastructure Fund II (EIF II), attained a EUR-480-million final equity closing at the end of 2020. The first quantity sought to be elevated was EUR 200 million, however it was doubled in line with the high need. According to Encavis' price quotes, the fund will certainly be able to realise investments in wind as well as solar assets of over EUR 1 billion.

Previously this week, Encavis Asset Management acquired a 74.5-MW portfolio of wind parks in France from Axpo Holding AG on behalf of the EIF II unique fund.