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 three 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, was deployed across a diversified investment portfolio spanning six European countries and has realised multiple successful exits
  • Impax New Energy Investors III (NEF III) continues the successful strategy of NEFII, with an increased focus on development partnerships in key European countries. NEF III, which reached final close in May 2018 with €357 million of capital commitments, has currently made four investments in wind and hydro in France, Germany and Norway
  • Our investor base is comprised of a geographically diverse mix of leading institutional investors including pension funds, insurance companies and global investment managers

The sectors:

  • The funds invest in single projects and growth companies owning multiple projects across Europe
  • We back companies that use commercially proven technology, and aim to deploy the majority of the funds' capital into the wind and solar sectors. Our team has deep sector experience stretching back to the 1980s and has executed transactions in multiple European countries

The strategy:

Impax "industrial" approach is focussed on 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