Copenhagen Infrastructure Partners (CIP), a Danish private equity firm, is aiming to become the manager of the world’s largest renewable energy fund in its class. The first phase of its flagship CI V facility has closed with capital commitments totaling €5.6 billion, putting CIP on track to achieve its target fund size of €12 billion.
The CI V fund has attracted significant interest from leading institutional investors across continental Europe, the Nordics, the UK, and the Asia-Pacific region. Additionally, some existing investors have expressed a desire for further exposure. The investment strategy follows the successful model of CIP’s previous flagship funds, CI I, CI II, CI III, and CI IV. The fund will focus on greenfield investments in large-scale renewable energy infrastructure, with a global scope. It aims to diversify its investments across technologies such as contracted offshore wind, energy storage, onshore wind, and solar, focusing on low-risk OECD countries in North America, Western Europe, and the Asia Pacific region.
With its current portfolio, CI V aims to add approximately 20 GW of new clean energy capacity to the grid. This capacity will be sufficient to power over 10 million average households with renewable energy, leading to an annual CO2 avoidance of 15 million metric tons.
The fund’s extensive seed portfolio provides ample opportunities for project selection and portfolio construction, offering robustness, visibility, and flexibility in investment execution. In June, CI V made its first final investment decision on a +400 MW onshore wind project in the United States, expected to commence construction in the coming months.
Jakob Baruël Poulsen, Managing Partner at CIP, expressed his delight at the trust shown by both existing and new investors in CIP’s renewable energy platform. Poulsen believes that CI V, with its greenfield focus and diversified portfolio, has the potential to make a significant contribution to and accelerate the global energy transition while generating strong returns for investors.
Poulsen further stated that the timing for CI V’s investments is favorable, considering the growing demand for new renewable infrastructure to ensure energy independence and fulfill ambitious climate goals. CIP’s strong track record, experienced team of industrialists, and extensive ownership of greenfield renewable energy projects position them well to seize attractive market opportunities. Their broad capabilities across major renewable technologies and presence in key markets enable them to select the best projects and build a well-diversified portfolio for the fund.
- PIB
