Hudson Clean Energy, Sky Solar forge partnership with portfolio acquisition

The investor and developer formed a solar partnership last year and are currently constructing 82MW of solar projects in Uruguay.

Private equity firm Hudson Clean Energy Partners and solar developer Sky Solar Holdings have acquired a 22MW portfolio, marking the first purchase of a $100 million development partnership formed last September.

The first asset in their venture is a portfolio of 23 operating, small utility-scale solar projects in California and Massachusetts. The majority of these projects, which began operating in 2012 and have a 15-year average power purchase agreement lifespan, were acquired from a third party.

“Extending our reach into the North American market is a logical next step for our organisation as we seek to build a stable portfolio of renewable projects in key markets around the world,” Neil Auerbach, founder and managing partner at Hudson, said in a statement.

The North American market was one of three regions the investor and developer agreed to focus on when they formed their partnership last year, along with South America and Japan. Hudson committed $50 million for a 49 percent stake in the construction of around 128MW of solar projects in Chile and Uruguay. It also committed $50 million to invest in secondary market opportunities in Japan.

The next agreement in their partnership is to finish construction and jointly own 82MW of utility solar projects in Uruguay. The projects are expected to begin operating in the first half of next year.

In July, Daniel von der Schulenburg, formerly a principal at Hudson, left the firm to join 3i Infrastructure in London.

New Jersey-based Hudson manages a $1 billion private equity growth strategy and a $150 million infrastructure fund. Sky Solar is an independent power producer in Hong Kong that owns and operates 276 solar projects generating a combined 259.1MW in Asia, Africa, Europe, North America and South America.