German asset manager Luxcara has consolidated its presence in Norway with the acquisition of a portfolio with a combined capacity of 262.8MW.
The portfolio consists of three projects in the south of the country which are yet to be built. The company said the wind farms are expected to be completed and connected to the grid in 2019.
Luxcara declined to comment on the price paid for the portfolio or the identity of the vendor. It also did not disclose which of its funds it used to purchase the projects.
“We are currently in negotiations with several well-known partners regarding a long-term power purchase agreement,” said managing partner Alexandra von Bernstorff. “In combination with reliable wind farms at sites with continuously high levels of wind throughout the year, we are laying the foundations for sustainable cash flows and an attractive project for our investors.”
The deal is Luxcara’s latest large-scale acquisition in Norway following its purchase of the 111.2MW Egersund project last year. The firm reached financial close on the wind farm in April, thanks to debt commitments from SEB and KfW. The company’s portfolio of European wind and solar assets now totals close to 800MW, with projects based in Germany, France, Italy, UK and Scandinavia. It has raised three funds to date, the third of which reached a €170 million fifth close in June.
Last month, Norway and Sweden agreed to extend their joint renewable energy subsidy scheme after the programme was thrown into doubt last year. Worried about the cost of the system, Norway had announced it would exit upon its expiration in 2020. The new agreement extends the scheme to 2030, although Sweden has a higher target of adding an extra 18TWh of capacity while Norway will only make limited additions to its installed capacity.