Malaysian pension fund acquires 45% stake in 365 MW PV portfolio

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Vortex has sold a 45% stake in a solar portfolio consisting of 365 MW of projects in the UK, which were acquired from Terraform Power earlier in 2017. The stake was bought by Malaysian pension fund KWAP, in a transaction worth a reported GBP 67.5 million ($90 million).

Investment platform Vortex, managed by EFG Hermes, will maintain a 5% stake in the portfolio, and says the deal is in line with its strategy of partnering with key investors around the globe.

“KWAP fits very well strategically as a long-term future partner to EFG Hermes. It is a reputable institutional investor with assets under management of around $30 billion across multiple asset classes globally,” said Karim Moussa, Head of Private Equity and Asset Management at EFG Hermes. “I am very pleased to have placed a 45% stake with the right partners after a highly competitive process that saw interest from leading investors around the world.”

Once the transaction is closed, expected to be within the coming weeks, the Vortex Solar Portfolio will be 50% owned by Tenaga Nasional Berhad, 45% KWAP and 5% Vortex.

“This marks our first direct investment in the renewable energy sector,” said KWAP CEO Datp’ Wan Kamaruzaman. “As an investor, we intend to increase our exposure in real assets, and renewable energy is one of the most active sectors in the infrastructure asset class for deal flow. We see this as an opportunity that will provide attractive investment income to the fund.”

Vortex manages a total of 822 MW of operational solar and wind assets across Europe, and has invested more than €1 billion in renewable energy in three years of operation.