Independent investment and asset manager KGAL has invested a total of EUR 1.3 billion – of which EUR 750 million is equity – for its KGAL ESPF 4 fund.
The portfolio is distributed across 33 European wind and solar parks, as well as investing in a project developer. As a core-plus fund, KGAL ESPF 4 typically gets involved at the beginning of the life cycle in order to participate in a large part of the value creation. With most of the investments in the portfolio have now successfully completed the project or construction phase, the fund is performing strongly.
KGAL ESPF 4’s diversified portfolio consists of offshore and onshore wind farms in Germany, Poland and Sweden, as well as solar plants in Bulgaria, Italy, Poland, Portugal and Spain. With a combined capacity of 2.2 gigawatts, these plants make a significant contribution to the expansion of renewable energies in Europe, and to achieving climate targets. Further solar parks with a total capacity of 500 Megawatt are still under construction. Michael Ebner, Managing Director of KGAL Investment Management, says: “What I am particularly pleased about is that most of our projects went through the phases up to commercial operation almost without a hitch. There were only minimal investment losses and disruptions, as well as some delays. This is exceptionally smooth sailing for projects of this magnitude.” KGAL has proven that it can manage the risks of greenfield investments and achieve returns well above the brownfield range. “KGAL ESPF 4’s results to date have far exceeded our own expectations,” says Ebner.
You can now read the full press release at the link below