The Hermes Infrastructure Fund (HIF) II, managed by Hermes Infrastructure, and CGN Europe Energy (CGNEE) are planning to acquire a 813-megawatt portfolio of five Swedish onshore wind farms from Aquila Capital.
HIF II will assume an initial 20 percent stake, with CGNEE signing on for the lion’s share with an 80 percent stake in the portfolio. Aquila Capital will continue to have an ongoing role in the portfolio.
“We are very pleased to announce this transaction for a high-quality portfolio of wind farms in Sweden in conjunction with our strategic partner, CGNEE,” said Peter Hofbauer, head of infrastructure at Hermes GPE. “Once fully operational, the portfolio will increase renewable-energy generation capacity already owned and managed by Hermes Infrastructure on behalf of a range of U.K. and international institutional investors to more than 1 gigawatt.”
Hermes Infrastructure’s predecessor fund, HIF I, closed in 2015 with £1.2 billion ($1.4 billion) in capital commitments. HIF I invests across core and value-add strategies and is fully deployed.
The portfolio includes two onshore wind farms with a combined capacity of 216 megawatts, which became operational on Sept. 16, and three onshore wind projects with a combined capacity of 597 megawatts that are expected to commence operations by first quarter 2020.
The wind farms have robust, long-term, fixed-price power-purchase agreements in place, as well as agreements with world-class suppliers for operations and maintenance services.
The portfolio is expected to offset 156,000 tons of carbon dioxide per year and contribute to a number of the United Nations Sustainable Development Goals.
