KGAL Investment Management is set to expand its investment in Poland by establishing a joint venture with Lasuno, a project developer, to construct four solar parks with a total capacity of 200MW in the north and west of the country. The KGAL ESPF 5 impact fund will finance the projects, which are expected to reach the Ready-to-Build (RTB) status by the end of 2025. Three of the sites are also suitable for wind farms.
KGAL ESPF 5, which will hold the majority stake in the joint venture, will gain access to a large number of projects with one transaction and participate in the value creation right from the start of the development phase. The selected projects can be added to the fund's portfolio.
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“KGAL has been active in Poland since 2019 because of the attractive framework conditions for renewable energy. First, the potential returns in Poland are above average, and second, we can achieve a particularly large impact with our solar and wind power plants by replacing GHG-intensive electricity generation,” said Michael Ebner, Managing Director of KGAL Investment Management.
Lasuno, responsible for the development and management of the projects, expressed excitement about the joint venture, saying, “With KGAL, we have found a financially strong partner that is already successfully driving similar joint ventures in the solar and wind sectors in several European countries.”
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The joint venture with Lasuno is KGAL ESPF 5's fourth platform investment, in which the fund invests in an entire pipeline, rather than acquiring a single asset. This approach allows for greater access to projects and the opportunity to participate in their development from an early stage.
With this investment, KGAL Investment Management and Lasuno are paving the way for Poland's renewable energy future while also contributing to global sustainability efforts.
