Specialist asset management group Gresham House has announced the launch of a fund that will deliver returns from renewable energy storage systems.
The Gresham House Energy Storage Fund will provide utility scale systems to the National Grid to support the storage of energy from renewable sources such as wind and solar power.
Interest in renewable storage systems and green infrastructure more broadly has been growing in recent years, with fund managers such as Gore Street Capital, Gravis Capital, Impax Asset Management and Octopus Investments among those showcasing investments in the sector.
Fund managers say that energy storage systems offer infrastructure and renewables investors a diversified source of income.
In Thursday’s announcement, Gresham House noted the that the income generated in its fund would be independent of renewables subsidies or the absolute level of power prices.
Announcing the launch, Rupert Robinson, managing director of Gresham House Asset Management, said the fund is being launched to both high net worth and institutional investors.
He explained: “What will set the fund apart is the proven expertise of the management team in this highly specialist sector and the cornerstone investment of more than £30 million, from the management team and institutional investors.
“The seed portfolio comprises 70 megawatts (MW) across five fully operational sites. We are confident that we can deploy up to £200 million in a tangible pipeline within 12 months of IPO. Initial investor targeting has been encouraging, and a formal roadshow has commenced”.”
The fund will begin trading on the main market of the London Stock Exchange, in the Specialist Fund segment, in early November 2018, according to a media statement. It is seeking to raise gross proceeds of up to £200 million from the IPO and the subsequent placing programme.
