- Prime Green Energy Infrastructure Fund (“PGEIF”), managed by Prime Capital AG, has signed and closed the acquisition of Project Sandbacka, a 90+ MW ready-to build wind farm located northeast of Vaasa, Finland
- The wind farm will comprise of 14 wind turbines with a tip height of up to 200m and will produce ca. 250 GWh annually
- With this final investment, PGEIF is already fully deployed or allocated well before the end of its investment period, and fundraising for its successor fund PGEIF II is expected to start in the next weeks
Prime Capital, the independent asset manager and financial services provider based in Frankfurt, announces the latest acquisition on behalf of its Prime Green Energy Infrastructure Fund (“PGEIF”).
An acquisition agreement for Project Sandbacka has been signed with Svevind AB, a privately owned developer of renewable energy projects and its co-development partner AB Vindkraft i Skog. Both have been developing the project over the past years with the support of local landowners. Prime Capital will be responsible for the procurement and completion of all required project agreements to realize the project by end of 2024, with a start of construction in Q2 2023. This is another example for Prime Capital’s value-add approach to identify projects in the late development phase in order to implement a commercialization strategy that achieves attractive construction agreements, favourable off-take solutions and reliable debt financing.
“We are pleased to announce that with this transaction we have realized our 10th and final PGEIF investment and have now fully deployed the committed capital of the fund. Project Sandbacka fits perfectly well in the fund’s strategy with regard to size, technology and geography. In addition, Sandbacka offers the opportunity to be integrated in our recently announced Kristinestad Energy Cluster as a source of green energy,” says Dr Mathias Bimberg, Head of Infrastructure at Prime Capital AG.
“We invested a lot of effort into the project development and are very happy that it will now be realized”, said Svevind’s CEO Fredrik Bäcklund during the signing of the contract. His partner Christer Nilsson (CEO Vindkraft i Skog AB) added: “We feel confident that we have selected with Prime Capital the right company to realize Project Sandbacka together with the landowners.”
The timing of the closing of Project Sandbacka is well aligned with the pre-marketing of PGEIF II. With a target volume of EUR 1bn and the combination of Renewable Energy projects and energy transition assets the new fund will extend the value chain and generate higher returns while making a strong contribution to decarbonisation.
Prime Capital has already become one of the largest investors in the Nordics onshore wind market over the past few years and has recently been awarded the “Green Fund of the Year 2022” for its “Prime Green Energy Infrastructure Fund” at the Wind Investment Awards.
