New $100 million SPV unveiled for renewable projects

Infundi, a joint initiative of Nafath Renewable Energy (an Omani SME specializing in the development of small-scale solar PV projects) and National Sustainable Energy Development Company, will launch a new Special Purpose Vehicle (SPV) that aims to raise $100 million to support the development of solar PV schemes in Oman and the wider Middle East region.

The announcement came at a Solar PV Investment Convention hosted by Nafath Renewable Energy at the Hormuz Grand Hotel on Tuesday. The event was attended by officials and executives representing a number of government and public sector organisations, as well as private businesses that have a stake in Oman’s burgeoning solar PV industry.

The new platform will be open for investment early next year, according to Haidar Shah of Londonbased National Sustainable Energy Development Company. “We are launching a first phase of a $100 million raise in January 2020,” said Shah. “The deployment of the capital will also start in January, as we have already committed investments into projects that Nafath has already structured. As a close-ended vehicle, we will be able to leverage the balancesheet of the corporation to provide the right kind of financing at the right cost of capital.”

The Middle East Renewables Corporate Investment Vehicle, said Shah, marks the culmination of yearlong efforts supported by Nafath to structure this platform. It will benefit from strategic and technology partnerships with well-established players in the global energy industry, notably Hanyang, Posco Energy, Solar Reserve, British Solar Renewables and Tremayne Solar.

The SPV’S operations will be overseen by an investment committee comprised of leading global experts and investor representatives, said Shah. Development of projects, as well as their operation and maintenance, will be handled by Nafath and its partners. Corporate governance and ownership will be overseen by Sanne Group, a global provider of outsourced alternative asset and corporate services.

The Middle East Renewables Corporate Investment Vehicle, said

Shah, will invest in solar PV projects of capacities ranging from 200 kw to 50 MW solar PV projects. It will target investment opportunities across the GCC region in the first phase, expanding to the wider Greater Middle East and North Africa region in the second phase.

NEW ASSET CLASS: The SPV’S operations will be overseen by an investment committee comprised of leading global experts and investor representatives