Foresight Renewable Energy Income Fund
Global infrastructure and private equity investment manager Foresight Group has launched an infrastructure debt fund, called the Foresight Renewable Energy Income Fund (FREIF), that will provide access to Climate Bonds Initiative (“CBI”) certified green debt.
Foresight says the fund will invest in smaller scaled Australian-based renewable energy projects and will target a yield margin of 4.0% to 4.5% over the RBA Cash Rate. It is targeting a fund size of $150 million and the debt will take the form of loans of between $5 million to $30 million to mostly small-scale solar and wind projects.
“Historically, the big banks have overlooked smaller-ticket wind and solar projects, as they are generalists and lack the dedicated resources to identify and assess small-scale projects. This presents a significant opportunity for us as infrastructure investment specialists," Foresight head of Australia, Kim Nguyen, said.