Renewable energy: Union Investment successfully completes second closing for new infrastructure fund
Union Investment has successfully completed the second closing for its UniInstitutional Infrastruktur SICAV-SIF Erneuerbare Energien infrastructure fund. Since the fund was launched in September 2012, around EUR 100 million of capital has been raised for the Luxembourg product. Taking into account the usual debt finance element, approximately EUR 350 million is thus available for investment. “Compared to the first subscription phase, we were able to further boost the level of interest among our institutional investors in our first infrastructure fund,” said Dr. Christoph Schumacher, a member of the management board at Hamburg-based Union Investment Institutional Property GmbH, which acts as asset manager for the fund.
With its broad remit, the institutional fund invests in European energy parks with a focus on onshore wind farms, as well as some photovoltaic investments. Alongside two wind farms in Germany, the fund has also signed an agreement to acquire an attractive wind farm in Ireland. Within the next few weeks, investments in France and the UK are scheduled, in addition to further German locations. “The expansion of the portfolio is progressing as planned,” said Schumacher.
Since there is little or no correlation between renewable energy and traditional asset classes, UniInstitutional Infrastruktur SICAV-SIF Erneuerbare Energien allows the risk/return profile of institutional investments to be optimised.