UK wind fund in £35m first close

Resonance Asset Management will target small-to-medium onshore wind farms in the UK.

The fund has reached a first close on £35 million (€41 million; $54 million) with commitments from pension funds, insurance companies and family offices. Dexion Capital, a boutique investment bank, is helping to place the fund. 

Resonance says it will target UK onshore wind farms with a generating capacity of between 2 and 10 megawatts, aiming to consolidate ownership in the small-to-medium sized wind market. The fund will not use leverage in its deals “and pays out all generated income to investors,” Resonance said. It aims to provide its limited partners (LPs) with “regular income that is linked to the price of wholesale electricity in the UK and the subsidies from the Renewable Obligation regime”. 

In addition to a first close, the fund manager has also signed its first wind farm acquisition, which it says will close shortly. 

Resonance is led by Nick Wood, a former senior executive at Man Group, where he founded and spearheaded Man Environmental Capital Opportunities. Wood started Resonance in 2012.