The Holding Company of a pan-European renewable energy fund
KGAL ESPF 4 Holding S.à r.l. is a wholly owned subsidiary of KGAL ESPF 4 SICAV-SIF S.C.S. (“KGAL ESPF 4”), a specialised investment vehicle, exclusively focused on European renewable energy generation, a substantial and rapidly evolving growth market. KGAL ESPF 4 provides institutional investors with access to renewable energies such as wind, water and solar energy. Furthermore, by focusing on 100% renewable energy investments and supporting related infrastructure, KGAL ESPF 4 pursues an inherently sustainable investment objective and supports the transition towards a low carbon economy. KGAL ESPF 4 is categorised as an Article 8 product for the purposes of the SFDR. All investments shall be made through KGAL ESPF 4 Holding S.à r.l.
Investment strategy
With the focus on mid- and late-stage development projects across Europe, we create additionality, and consequently impact, by bringing new renewable generation capacity to the market in order to support the continuing decarbonisation of the European power generation fleet. Together with selected investments in markets characterised by a higher degree of GHG-emitting generation capacity, we also fully support the target of the Paris Climate Agreement to limit global warming by supporting the respective countries in achieving their individual renewable generation targets.
Portfolio
It is our belief, that broad diversification adds stability and resilience to any investment. Consequently, KGAL ESPF 4 – with its equity commitments of close to EUR 750 million – has established a well-diversified portfolio including electricity generating projects utilising different technologies, with a specific focus on photovoltaic and onshore wind, and located in different jurisdictions across Europe.
As of today, investments into more than one gigawatt of wind and photovoltaic assets in countries such as Bulgaria, Germany, Italy, Sweden, Spain, Portugal and Poland have been made. Further diversification of the portfolio is achieved by using different routes to market for the electrical output and investing in assets at different life stages. Together with the active asset management approach of the Investment Advisor, this enables value creation.
Structure
KGAL ESPF 4 Holding S.à r.l. is a limited liability company (société à responsabilité limitée) under the laws of the Grand Duchy of Luxembourg, headquartered in Luxembourg. Its objective is to hold and finance stakes in electricity generating projects in different countries across Europe. The sole shareholder is KGAL ESPF 4 SICAV-SIF S.C.S., a Luxembourg based specialized investment fund exclusively open to professional investors. KGAL ESPF 4 Holding S.à r.l. also provides central services to its subsidiaries such as implementing the investment strategy, financing activities, procurement services including debt arrangements, structuring of power offtake agreements or supporting the divestment process during the life span of KGAL ESPF 4.
