Private Equity Infrastructure

Impax is one of the longest established private equity fund managers in the large and rapidly growing renewable energy sector. The firm manages two private equity infrastructure funds that follow an industrially-focused value-add strategy, investing in renewable power generation and related assets.

The funds:

  • Impax New Energy Investors is a €125 million fund which reached final close in August 2006
  • Impax New Energy Investors II (NEF II) aims to build upon the activities of Impax New Energy Investors with a consistent investment focus. NEF II, which reached final close in August 2011 with €330 million of capital commitments, has a diversified investment portfolio across six European countries and successful exits achieved to date

The sectors:

  • The two funds invest in projects and growth companies owning multiple projects across Europe. We back companies that use commercially proven technology, and expect that most of the funds' capital will be deployed in the wind and solar sectors. Our team has deep sector experience going back to the 1980s and has recently closed transactions in France, Germany and elsewhere in the EU
  • Our investor base is comprised of leading institutional investors including pension funds, insurance companies and global investment managers

The strategy:

Impax "industrial" approach is adding value and minimising risk

Excellent market opportunity

  • Stable market created by ambitious EU renewable energy targets, widespread ageing of current power plants and shortfall in traditional power generation capacity being built
  • Strong regulatory support with feed-in tariffs offering inflation-linked revenues in the long term
  • Fragmented market ripe for consolidation as large financial investors and utility power generation companies look to buy scaled renewable asset portfolios in operation

​"Industrial" approach adds real value and minimises risk

  • Experienced multilingual team with broad networks and access to strong proprietary deal flow 
  • Investing in commercially proven technology with short construction periods
  • Specialist technical and operational knowledge
  • Focus on risk management and downside protection through careful contracting and operational management
  • Returns driven by creation of instrinsic asset quality, not excessive financial leverage