NextEnergy Solar Fund Ltd (LON:NESF) said it has committed £36mln (US$50mln) to NextPower III, a global private solar infrastructure fund, and has secured a new £100mln revolving credit facility.
The former first: Next Energy says NPIII provides the company “with an opportunity to efficiently access…an established portfolio of operational and in-construction international assets”.
It also immediately adds international diversification as NPIII has 394 megawatts (MW) solar capacity in the US, India, Portugal, and Chile, of which 245MW are operational, 54MW under construction and 115MW pre-construction. In all, the total pipeline is 1.6 gigawatts.
"NPIII's strong track record since its inception, its high-profile investor base and award-winning status provide us with further conviction around this investment,” said NextEnergy Solar Fund chairman, Kevin Lyon.
“It also contributes to our portfolio's geographic diversification and risk mitigation with respect to individual markets' power prices.”
The investment represents 3.5% of NESF’s gross asset value.
The revolving credit facility, meanwhile, was “secured on attractive terms” with lenders NatWest and AIB. Available over three years, it increases the company’s headroom to £165mln, of which £54mln is currently drawn.