Credit Suisse adds third asset to European energy fund targeting €1bn

Credit Suisse Energy Infrastructure Partners’ latest platform has paid €134m for a 49% stake in five Spanish concentrated solar power plants from ContourGlobal.

Credit Suisse Energy Infrastructure Partners has made the third investment from its latest fund launched in July targeting €1 billion.

The firm paid London-listed energy operator ContourGlobal €134 million for a 49 percent stake in five concentrated solar power plants in Spain, which have been operational since between 2009 and 2012 and have a generating capacity of 50MW each.

The move is CSEIP’s second acquisition from ContourGlobal, after it bought 49 percent of the group’s solar PV portfolio in Italy and Slovakia for €63 million, totalling 100MW in capacity, in October. The pair are also targeting further consolidation together in Italy’s small-to-medium-scale solar sector.

Last month, the group also partnered with E.ON, taking an 80 percent stake in the 475MW Nysäter onshore wind farm in Sweden. E.ON said the project’s total investment is expected to be around €500 million and is scheduled to be completed by the end of 2021.

The deals have all been agreed through the Credit Suisse (Lux) Energy Infrastructure Europe 1 fund, a 25-year vehicle launched in July. The fund reached a €260 million first close, the proceeds of which are understood to be fully invested, while a second close is anticipated early next year.

The fund has a €1 billion target and a hard-cap of €2 billion, with investments targeted across Europe in generation, transmission, energy efficiency and oil and gas storage assets, with a 7 percent net IRR.

CSEIP declined to comment on the fundraising process.

The vehicle is aimed at European institutional investors and charges management fees of 1.25 percent for investments of less than €50 million, 1.10 percent for commitments between €50 million and €100 million and 0.95 percent for investments of more than €100 million.

It is the first vehicle launched by CSEIP targeting European institutions outside Switzerland. The group also manages the CSA Energy Infrastructure Switzerland fund, an open-ended vehicle exclusively for Swiss pension funds. CSEIP has raised €2 billion in total since the platform’s launch in 2014.