Aquila Capital Launches Energy Transition Fund I in Germany with Commerzbank's Support
Funding | Feb 17, 2025 | Finance Community IT - 3 Private Equity
Aquila Capital, a specialist investment manager, has launched the Aquila Capital Energy Transition Fund I with support from Commerzbank. The fund begins with an initial commitment of €50 million for a battery storage system that is set to become operational in Germany by 2026. This fund is designed to address Europe's decarbonization efforts through value-added infrastructure investments. In addition to large-scale battery storage, the fund invests in decentralized renewable energy solutions and infrastructure enablement. Targeting professional investors, the fund aims for a size of €600 million with a projected annual gross return of 14-16%. It features a closed-end structure with an asset-holding period of five to seven years. With a proprietary pipeline of 2.9 GW in battery storage projects, Aquila Capital leverages its expertise in clean energy investments to provide high-quality investment opportunities. Christian Holste and Markus Wandt of Aquila Capital emphasize the fund's potential for strong financial returns coupled with environmental impacts, marking a significant step in the company's investment product offerings.
Sectors
- Renewable Energy
- Private Equity
- Financial Services
Geography
- Germany – The initial investment for the battery storage system is located in Germany, a critical market for renewable energy.
- Europe – The fund targets Europe's decarbonization efforts, making the entire region relevant to the investment strategy.
Industry
- Renewable Energy – The article focuses on investments supporting the transition to cleaner energy sources, specifically battery storage and renewable energy solutions.
- Private Equity – Aquila Capital's launch of a specific fund and targeting professional investors marks a significant activity in the private equity sector.
- Financial Services – Commerzbank's involvement as a supporter of the fund highlights the financial services aspect of the investment.
Financials
- €50 million – Initial commitment for the battery storage system investment.
- €600 million – Target fund size for Aquila Capital's Energy Transition Fund I.
- 14-16% – Projected annual gross return for fund investors.
- 6-7% – Expected annual distributions from the fund.
- 2.9 GW – Proprietary pipeline of battery storage projects guaranteed by Aquila Capital.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Aquila Capital | Fund Manager | Company | An asset manager specializing in sustainable real asset investments, launching the Energy Transition Fund I. |
| Commerzbank | Supporter/Investor | Company | Major supporter of the fund, providing initial backing for the project's launch. |
| Christian Holste | Head of Client Advisory and Business Development | Person | Involved in providing insights into the investment opportunity of the fund. |
| Markus Wandt | Chief Investment Officer | Person | Discusses the strategic importance and ambition of the fund launch. |