Fund manager Glennmont Partners has raised €850M (US$952M) in its third fund dedicated to investing in clean energy infrastructure projects in Europe and plans to invest much of it in offshore wind.
Glennmont said the fund raising was 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 its Fund III (originally €600M/US$672M) was achieved because of the high level of interest in sustainable themes among investors, and due to the demonstrated success in investment, operations and divestment in the assets in Funds I and II.
Based in London, Glennmont is the world’s largest fund manager focusing exclusively on investment in clean energy infrastructure with assets of over €2.0Bn (US$2.2Bn) currently under management. It said that more than 70% of Clean Energy Fund III will be invested in projects in the Eurozone with the UK also being an important market. The Third Fund will see investments in offshore wind projects across the European Economic Area for the first time.
Glennmont chief executive Joost Bergsma said, “We are delighted to announce the successful closure of our Third Clean Energy Fund. Institutional investors globally recognise that the energy transition and climate change is of key relevance to the performance of their portfolio.”
In May 2019, at the end of its 12th Clean Energy Seminar, the fund manager described offshore wind as a “rapidly growing and de-risking sector” and noted that a rapid increase in size and technological improvements "have reduced the levelised cost of energy from offshore wind and forms the backdrop for an acceleration of its roll out across Europe."