Econergy Renewable Energy has announced that it has received an investment of €250 million (~$258 million) from France-based independent asset management firm RGREEN INVEST.
Econergy is a developer of solar, wind, and storage projects and has around 7.5 GW of projects under development across six countries.
The investment will enable Econergy to expand its renewable energy portfolio and increase its European pipeline.
“This latest agreement highlights the growing confidence of investors in Econergy’s business model and growth plans, which in 2022 has seen us launch the construction of utility-scale solar and storage projects in four different markets. With a pipeline of 224 projects and development capabilities that are significant, while there is volatility in the market, we are ready to make the leap to reach this next milestone that will benefit all company stakeholders,” said Eyal Podhorzer, Econergy’s CEO.
RGREEN will invest €87.5 million (~$90 million) in common equity in Econergy at a pre-money valuation of €350 million (~$361 million), which will be used to strengthen the company’s pipeline expansion and growth plans.
Another €163 million (~$168 million) will be used to support the construction of solar and wind projects across Europe. Econergy will provide engineering, procurement, and construction management services for its European projects and asset management services for ten years.
The investment also includes RGREEN INVEST’s previous commitment of about €50 million (~$51.6 million) to support Econergy’s 92MW solar project in Parau, Romania, where construction began earlier this year.
Econergy has earlier partnered with Terna Energy to construct a solar portfolio of 460 MW as part of a new pipeline of projects in the Greek market. According to the agreement with Terna, Econergy will acquire 49% of the share capital of a Greek company that owns two companies in Greece, each developing 240 MW and 220 MW solar projects.
According to Mercom’s 9M and Q3 2022 Solar Funding and M&A Report announced large-scale project funding in the first nine months of 2022 came to $22.8 billion in 128 project funding deals, a 97% increase compared to $11.6 billion in 138 projects in 9M 2021.