InfraRed Infrastructure Fund V (the “Fund”) has completed an investment in two greenfield solar PV projects in Northern Mexico. Projects Torreoncitos and Rancho el Trece are construction ready solar parks, each with capacity of 36MW. The works are scheduled for 6 months, with construction completion expected at the end of 2017. The Fund has committed to invest US$17.25m into each solar project to acquire a 50% equity interest from Bester Energy, an experienced Spanish contractor who will perform construction under a fixed price and fixed term basis. The remaining 50% of the equity is held by our business partner in Mexico, Invex Infraestructura.
The funding structure does not include senior debt at this stage. Bester Energy will also provide operation and maintenance services to the projects during the first years of commercial operations. Following the completion of the construction, the power will be contracted to commercial and industrial customers through Ammper, a power distribution and trading business. Ammper is also jointly controlled between Invex and InfraRed, each committing US$1m to set up operational capabilities. Furthermore, the Fund has acquired a 25% interest in eight additional projects from Bester Energy; a cluster of three called Ocampo and a cluster of five called Ahumada, each project with a capacity of 36MW.
About InfraRed Capital Partners:
InfraRed is a leading global investment manager focused on infrastructure and real estate. It operates worldwide from offices in London, Hong Kong, New York, Seoul and Sydney. With around 120 professionals it manages in excess of US$9bn of equity capital in multiple private and listed funds, primarily for institutional investors across the globe. Since its inception, InfraRed has launched 17 funds, including two companies listed on the London Stock Exchange: HICL Infrastructure Company Limited and The Renewables Infrastructure Group (TRIG), both of which are members of the FTSE 250. To date, InfraRed has realised six funds, demonstrating its ability to create real value for its stakeholders.
InfraRed has been investing in the Infrastructure market for over 20 years and is one of world’s largest managers of social and transportation infrastructure projects. InfraRed has evolved its business from principally managing PPP projects at its inception to a diversified and international investment business, with around 60 infrastructure investment professionals, managing over 200 investments in PPP projects, renewable energy, regulated and economic infrastructure businesses. InfraRed implements best-in-class practices to underpin asset management and investment decisions, promotes ethical behaviour and has established community engagement initiatives to support good causes in the wider community. InfraRed is a signatory of the Principles of Responsible Investment and its infrastructure business has been awarded the highest rating.