The Exergy Efficient Energy Fund (E3F), the new €350 million energy infrastructure fund being raised by EnerCap Capital Partners, has signed a Letter of Intent with Polskie Inwestycje Rozwojowe S.A. (PIR) as the cornerstone investor.
The Exergy fund is a 10-year closed end private equity fund which will focus on investments in primarily new and existing high efficiency cogeneration projects in Central Europe. In particular, the fund is targeting to deploy 50% of its capital on project opportunities in Poland.
PIR was established under the Polish Investments Programme in 2013 with the objective providing funding to viable long-term infrastructure projects in Poland. Through its investment in E3F, PIR will catalyse new private capital investment into Polish infrastructure.
Mariusz Grendowicz, CEO of PIR, stated:
We are delighted to be the cornerstone investor in the Exergy Efficient Energy Fund and we look forward to working with the EnerCap team who is a leading clean energy investor in the CEE region. Our investment of €40 million into E3F will see up to €175 million of new investment into replacing or upgrading key Polish energy infrastructure which is vital for future growth.
With its investment focus on Poland, EnerCap Capital Partners will open an office in Warsaw and expand its team of investment professionals. EnerCap has been active in Poland for over four years since developing and constructing the 22MW Scieki windfarm in 2010-11, its first investment in Poland.
The Exergy fund will be led by EnerCap partners Jim Campion and George Formandl. The new Exergy fund has also attracted interest from a number of other significant potential investors putting E3F on track to achieve the first close target of €100 million in Q3 this year.