Copenhagen Infrastructure Partners (CIP) announced that its fifth flagship fund, CI V, surpassed its target size of €12 billion at final close.
CIP said the fund aims to invest in the energy transition across a range of technologies, from wind and solar PV to battery storage, across low-risk OECD countries in Europe, North America and Asia Pacific.
It said CI V has exceeded all expectations so far and has already made six final investment decisions (FIDs) committing 60% of the fund, ensuring fast deployment of capital and significant value creation early in the fund lifetime.
With ownership of more than 50 development stage projects with a potential CI V investment volume of €24 billion, the fund is on track to be committed within the next year.
CI V is estimated to add 30 GW of new energy capacity to the global grid, which is enough to power more than 10 million average households.
CIP said: “Investor interest in large-scale greenfield energy infrastructure investments is strong, and CIP is now finalising fundraising for CI V with total fund commitments exceeding the target of EUR 12 billion, excluding capital raised for co-investments.”
Jakob Baruël Poulsen, Managing Partner at Copenhagen Infrastructure Partners, said: “Reaching 12 billion euros is a fantastic result and a testament to our proven industrial approach to energy infrastructure investments.
“I am proud that several of the world’s largest and most sophisticated investors are committed to CIP, and I am delighted to once again have the support of our existing investors and welcome many new investors to our platform.”
Mads Skovgaard-Andersen, Head of Flagship Funds and Partner at CIP, said: “Our team of energy industrialists are experts in value-enhancing greenfield investments in large scale energy infrastructure projects that deliver attractive risk-adjusted returns for our investors.
“We believe that CI V is a highly relevant and important component in our investors’ portfolios as it offers portfolio stabilization and diversification with downside protection from contracted cash flows and exposure to inflation.
“The value creation in our funds is based on early entry at low cost and derisking and optimising the asset across the different project stages, which are generally less correlated to macroeconomic factors and economic cycles. Robustness is further enhanced through a high degree of optionality from our large project portfolio and diversification across technologies and markets,” said Mads Skovgaard-Andersen, Head of Flagship Funds and Partner at CIP.