UK wind investor launches solar vehicle, buys 108MW

Greencoat Capital, the manager of London-listed Greencoat UK Wind, is targeting an additional 150MW over the next six months for its unlisted fund.

UK-based investment firm Greencoat Capital has made its first move into the solar market after launching a dedicated, unlisted vehicle named Greencoat Solar I.

The move will contribute to diversifying the strategy of the company which also manages Greencoat UK Wind, a London-listed vehicle with over £880 million ($1.1 billion; €1 billion) under management.

The new vehicle has already made its first acquisitions, buying three solar farms totalling 30MW from German developer BayWa r.e. and another six projects with a combined capacity of 78MW from Primrose Solar. Greencoat said it will be looking to buy another 150MW over the next six months.

“The fragmented nature of the UK's solar capacity offers a great opportunity for low-risk investment. Through operational excellence, alongside prudent acquisitions, we expect to deliver our investors predictable, inflation-linked secure income,” said Lee Moscovitch, a partner at Greencoat Solar.

The firm added that it had been witnessing demand for an unlisted solar vehicle from investors in its wind fund. One LP in the new fund is the BBC Pension Scheme, according to a Companies House filing.

As of press time, neither the pension fund nor Greencoat would comment further on the former’s commitment to the solar vehicle.