Glennmont Clean Energy Fund III raises €850m for green energy

4 June 2019 (Last Updated June 4th, 2019 12:49)

London based investment group Glennmont Partners has raised €850m at the final close of its third fund for investments in clean energy projects across Europe.

Glennmont Clean Energy Fund III raises €850m for green energy
Glennmont Partners will invest in offshore wind for the first time in its third clean energy fund. Credit: Ørsted A/S.

London based investment group Glennmont Partners has raised €850m at the final close of its third fund for investments in clean energy projects across Europe.

Initiated in late 2017, the fund exceeded its target of €600m and took the group’s investment in clean energy infrastructure to over €2bn.

Europe was the biggest area for investment in the fund, with 79% of investors coming from the region, including the European Investment Bank (EIB). Asian markets contributed 12% of the fund, with the final 9% coming from North America.

Over 70% of the investment will go to projects in the Eurozone and the UK. The group will invest in offshore wind projects for the first time, alongside solar, onshore wind, bioenergy and hydropower. The fund will last ten years and will target recently built or soon to be operational projects.

Glennmont CEO Joost Bergsma said: “We are delighted to announce the successful closure of our Third Clean Energy Fund which has raised over three-quarters of €1bn. Institutional investors globally recognise that the energy transition and climate change is of key relevance to the performance of their portfolio.

“Glennmont’s investment strategy has proven to deliver good performance and predictable returns, and this strong demand from investors underlines the quality of the assets it invests in.”

The group tweeted: “Glennmont smashes hard cap target for clean energy fund III raising €850m. It is the largest amount that has ever been raised for a green energy only fund with a European mandate.”

“The over-achievement of the target for fund III (originally €600m) was achieved because of the high level of interest in sustainable themes among investors.”