EUR 500m clean energy fund over-subscribed

A ten-year clean energy investment fund created by Glennmont Partners has closed today having attracted €50 million ($65 million) more than its target. In raising the maximum amount permitted (€500 million, or $650 million), the fund was easily oversubscribed, having received sustained and generous support from new and existing investors.

Glennmont Partners – one of Europe’s largest fund managers – revealed that the European Investment Bank (EIB) invested €50 million, with further cash coming via investors based across Europe, the U.S., the Middle East and Asia. The fund’s original target was €450 million ($591 million).

"We were previously a specialist team working within other institutions, but having established Glennmont we are now a specialist independent partner, and our investors value that," said Glennmont managing partner Joost Bergsma. "We have now fully invested our first fund, building on our existing track record as an independent company."

Bergsma added that the fund’s oversubscription was indicative of the market’s appetite for yield and long-term capital appreciation.

Founded as a spin-off from BNP Paribas Investment Partners last year, Glennmont manages long-term capital to invest in alternative power generation projects. Its focus is primarily on proven clean energy technologies such as solar PV and wind, mostly across the U.K. and large parts of Europe.

The first Clean Energy Fund added 354 MW of renewable energy to the U.K., Ireland, France, Italy and Portugal.

Looking ahead to the Clean Energy Fund II, Bergsma added: "Our team is already assessing a number of high quality investment opportunities, and we are ready to continue to grow by backing only carefully selected, risk-managed investment.

"The closing of our second fund reflects investor confidence in our ability to deliver sustained performance and predictable returns."