Prime Capital announces the third closing of its Prime Green Energy Infrastructure Fund II (PGEIF II). PGEIF II focuses on renewable energy projects across Europe, with a special emphasis on Scandinavia.Total commitments now stand at € 313 million, with approximately 45% from existing investors and 55% from new investors. The target size of the Fund is around € 700 million.
The Fund continues Prime Capital’s strategy in renewable energy, focusing on the lowest levelised cost of electricity (LCOE) assets combined with highly attractive, low-risk investments in the growing energy transition market. The net internal rate of return (IRR) target is 10-12%, with an expected money multiple of around 2x over a basic term of 10 years. The Fund has already secured a pipeline of over € 600 million in assets, with the majority in onshore wind.
For PGEIF II, investments in regions with low LCOE assets will continue, extending to the Spanish market. Additionally, co-located battery storage projects will be included for further diversification, as well as selective value-accretive energy transition assets, such as green fuel production.
Image courtesy Prime Capital AG
