CIP making € 5.5 billion renewable energy infrastructure investment fund

Copenhagen Infrastructure Partners (CIP) has reached a first close on Copenhagen Infrastructure IV (CI IV) investment fund with EUR 1.5 billion. The fund, planned to be worth EUR 5.5. billion, will become the largest one within renewable energy infrastructure investments, according to the investment company.

The fund is expected to achieve capital commitments of EUR 5-7 billion and invest EUR 10-14 billion in greenfield renewable energy infrastructure across North America, Western Europe, developed Asia and Australia.

CI IV has a global reach and will diversify investments across technologies such as contracted offshore wind, onshore wind, solar PV, transmission, storage, waste-to-energy and biomass assets in low risk OECD countries in Western Europe, North America and developed Asia Pacific, CIP states.

The first close was reached on 15 June with capital commitments from a group of institutional investors, including Danish pension funds PensionDanmark and AP Pension, KLP from Norway as well as pension and life companies and large family offices.

CIP said that several other institutional investors were in the process of committing to the new fund, including those from the Nordics, Continental Europe, UK, Israel, North America, Asia and Australia.

“We are very pleased to reach first close of CI IV with a mix of existing and new blue-chip institutional investors committing to the fund”, said Jakob Baruël Poulsen, Managing Partner in CIP. “The market timing is favorable for greenfield renewable infrastructure investments, and the fund and CIP are well positioned to capture the attractive market opportunity with significant visibility of the investment pipeline and a high degree of execution certainty delivered by a large team of experienced industrialists”.

The investment strategy of CI IV is a continuation of the predecessor funds Copenhagen Infrastructure (CI) I, CI II and CI III, focused on long-term institutional investment.

The final close on the new fund is expected during the next nine months.