US renewable energy developer energyRe is set to advance its development pipeline and expand its portfolio after arranging a USD-1.2-billion (EUR 1.10bn) capital package as well as welcoming Elia Group SA/NV (EBR:ELI) as a minority partner in its energyRe Giga subsidiary.
EnergyRe specialises in utility-scale transmission and storage, onshore wind and solar generation and offshore wind. Its portfolio of renewable assets includes more than 500 miles (804 km) of high-voltage direct current (HVDC) transmission, 10.5 GW of solar, wind and storage, and more than 155 MW of distributed generation.
The financing package comprises committed capital investments from Glentra Capital, which has pledged to share its expertise to support energyRe’ growth plans, alongside co-investors Novo Holdings and Denmark-based pension fund PKA. It also includes a mandated corporate debt facility to be arranged by Santander and Deutsche Bank.
In addition to the equity investments and the loan, Elia Group SA/NV (EBR:ELI) has reached an agreement to take a 35.1% stake in energyRe Giga Projects with the deal marking its entrance into the US market.
The Belgian transmission system operator will deploy USD 400 million over three years into the unit and will share its experience in the development, construction, operation and maintenance of offshore transmission infrastructure; HVDC technology; transmission planning; and congestion management to the partnership. The proceeds from the stake sale will be used to fund project development in US electricity transmission and renewable energy generation.
EnergyRe Giga has interests in transition and power-generating assets and projects. These include a 50% stake in a project for a 175-mile HVDC transmission line, dubbed Clean Path New York, and 3.8 GW onshore generation in New York; a 40% shareholding in SOO Green, a future 350-mile HVDC transmission line from MISO to PJM; and a 50% interest in Forward Power Offshore, which owns a 25% stake in the 2.4-GW Leading Light Wind offshore wind project in the New York Bight.
(USD 1 = EUR 0.920)
