The acquisition of the 22 acre park by Solar 21 brings its spend in the last four months to over 50 million (US$65 million) and edges it closer to its targeted fund size of 1 billion.
Adachi further commented that the team at Solar 21 were one of the most organized and professional that he had dealt with during his time in the European solar market.
The fund continues to achieve outstanding returns for its clients. The stability of the Solar 21 Fund is underpinned by European Directives for emissions reductions and sovereign guarantees on green electricity sales which are accompanied by long term power purchase agreements.
From an investor's point of view this is excellent news as it shows how robust and uncorrelated the investment is compared to other asset classes. The Solar 21 Fund has gone from strength to strength with strong investor interest coupled with a series of recent acquisitions.
The fund continues to achieve above average returns for its clients. Solar 21's equity is generated from cash and pension investors, typically investing lump-sums from 50,000 upwards.
The fund is fully diversified in that all Solar21 investments are spread across all farms within the fund. This deal facilitates the continued growth of the Solar 21 fund and its ability to deliver the excellent 8.5% annual coupon to its many investors.
The spend on renewables in 2012 was over $267 billion bringing total investments to $2 trillion. The upward trend is set to continue in 2013.
Notable amongst recent transactions was Warren Buffet's $5 billion spend on solar parks in the US, 100 million by the German Fund Bayerische Versorgungskammer (BVK), Goldman Sachs who have set aside a $40 billion budget to be spent on solar and other renewables and Allianz who have spent over $1.3 billion on solar and wind farms.
Michael Bradley CEO of Solar 21 stated that the continued popularity of investing in renewable energy (as opposed to much riskier equities and property) was allowing the fund to not only grow exponentially and continue to easily pay the investors an attractive fixed annual return of 8.5% but also create large reserves and hence liquidity.
This fact has attracted the attention of several large defined benefit schemes who are currently in discussions with the fund to reallocate part of their current holdings with a view to de-risking their investments and improving their returns.
