UK private equity firm HgCapital has invested an aggregated €300 million into three solar energy plants in southern Spain.
This is Hg’s first investment in Spain, and although it has made 33 renewables deals in the past four years, this is also its first investment into solar energy.
The solar plants, which produce more than 34-megawatts of energy, were acquired by Hg in a secondary transaction from AIG Financial Products, an American International Group subsidiary. It also acquired some of the interests from Spanish investment banking firm 360 Corporate and has entered into an agreement with it to collaborate on future deals.
“The photovoltaic projects in this investment use the best equipment and benefit from excellent solar radiation. I am also pleased with our arrangement with 360 Corporate, which adds local content and presence,” Tom Murley, the recently appointed head of Hg’s renewables team, said in a statement.
This investment, which was made via the firm’s €300 million Renewable Power Partners Fund that closed in 2006, means that Hg now has interests in renewable projects generating more than 600 megawatts combined.