Largest debut renewable infrastructure fund raised to date
Final close of fund at hard cap
NEW YORK–(BUSINESS WIRE)–Stonepeak, a leading alternative investment firm specializing in infrastructure and real assets, today announced the final close of Stonepeak Global Renewables Fund (“GRF” or the “Fund”), a US$2.75 billion fund focused on investing in a diversified portfolio of renewable energy assets in developed markets around the world.
Consistent with Stonepeak’s overall approach to investing, GRF applies a thematic and relationship-driven approach to deal sourcing, strong operational acumen and stringent focus on downside protection to the fast growing and critically important renewable energy sector. Over the past three years, Stonepeak has established a global team with significant experience in renewable energy investing and strong capability in driving value through the development, construction and operations of critical energy transition infrastructure assets. As of the final close, GRF has already assembled a US$800 million portfolio of investments across the U.S. and North Asia, including utility-scale and Commercial & Industrial (C&I) solar, as well as onshore and offshore wind platforms.
GRF received commitments from a diverse group of more than 40 global investors from 15 different countries, reflecting the growing, broad-based interest in energy transition investment opportunities. With strong support from existing Stonepeak investors as well as new relationships, GRF surpassed its original US$1.25 billion target in early 2021 and closed at its increased US$2.75 billion hard cap several months later. This increase in fund size is representative of the accelerating scale of the opportunity in renewables, as both government policy and private sector corporate strategy become increasingly supportive of energy transition.
Stonepeak Senior Managing Director Hajir Naghdy said, “Renewable energy provides a critical pathway to rapidly decarbonize the global electricity sector and is an increasingly attractive area for investment given continued economic and public policy tailwinds globally. We launched GRF to both align with and help accelerate the powerful trends underpinning the ongoing transformation of the global energy sector, which are creating a strong pipeline of differentiated and exciting opportunities that we are well positioned to capitalize on for our investors.”
Naghdy continued, “We believe we have assembled a leading global team in renewable energy with a long-shared working history of investing across North America, Europe and developed Asia. Through GRF, we look forward to continuing to establish trusted partnerships in the sector utilizing the team’s deep understanding of local markets, particularly on the ground in Asia, as we pursue additional energy transition investment opportunities around the world.”
Stonepeak CEO and Co-Founder Michael Dorrell added, “We truly appreciate the trust placed in Stonepeak by our investors and are focused on achieving a great investing result for all of our stakeholders. Recently we have seen a marked step-up in recognition by governments and increasingly the private sector that the world needs to take more immediate and decisive action in dealing with climate change. This is creating huge demand for renewable projects around the world, and we are thrilled to play a role on behalf of our investors to help address this global challenge.”
To learn more about the GRF portfolio and Stonepeak’s approach to ESG, access Stonepeak’s 2020 ESG Report and 2020 GRF Impact Report at www.stonepeakpartners.com/environmental-social-governance/.
Simpson Thacher & Bartlett LLP acted as fund counsel and Campbell Lutyens acted as global placement agent.
Stonepeak is a leading alternative investment firm specializing in infrastructure and real assets with approximately $37 billion of assets under management. Through its investment in defensive, hard-asset businesses globally, Stonepeak aims to create value for its investors and portfolio companies, and to have a positive impact on the communities in which it operates. Stonepeak sponsors investment vehicles focused on private equity and credit. The firm provides capital, operational support, and committed partnership to sustainably grow investments in its target sectors, which include transport and logistics, communications, water, energy transition, and power and renewable energy. Stonepeak is headquartered in New York with offices in Houston, Austin and Hong Kong. For more information, please visit www.stonepeakpartners.com.