Florence Chong recently covered the imminent launch of the Foresight Renewable Energy Infrastructure Fund, for Investment & Pensions Europe. She reports that Foresight Group plans to launch its first infrastructure debt fund in Australia later this month, seeking to raise up to A$200m (€122m) to finance renewable energy projects, which will be aimed at Australian institutional and wholesale investors. The fund will look to lending facilities of between A$30m and A$40m, a market that is currently not serviced by large banks.
The article notes that “Kim Nguyen, head of Australia, Foresight Group, told IPE Real Assets that pre-launch discussions with potential investors had yielded a positive response.
They were attracted to the fund’s green credentials, she said, adding that Foresight would be the first debt fund in Australia to be certified by the UK-based Carbon Trust.
Equity would be raised in two or three tranches, with the first close scheduled for November this year.”
It further quotes Kim as saying: “We expect to raise A$50m in the first tranche and the capital will be deployed into projects soon after that. We already have a pipeline of projects. We have begun due diligence on some of them and issued term sheets to potential borrowers.”