© NextEnergy Capital

NextPower V ESG is a private contracted solar strategy that targets investments in the development and operation of utility-scale solar assets and adjacent technologies, such as battery storage, across key Organisation for Economic Co-operation and Development (OECD) markets which is classified as an Article 9 Sustainable Finance Disclosure Regulation (SFDR) fund.

NextPower V ESG has to date raised $745 million in commitments from institutional investors (including $150 million in co-investment allocations) and is targeting $1.5 billion in fund size. NEC is committed to supporting the decarbonisation of the power generation sector, while also increasing renewable capacity to enhance energy security and stabilise prices.

Spearheading the transition to clean energy since 2007 

Established in 2007, NEC specialises in solar investments and offers solutions for global energy transition through its expertise in project development, investment management, fund and portfolio management, and business support. With $4.3 billion assets under management, the company has invested in over 460 solar plants across 9 countries, with a capacity in excess of 3GW across its institutional funds.

Scaling capital allocations towards low-carbon energy systems

RBS International was the sole lead structuring bank for NEC’s green investor-backed leveraged facility and also acted as the green loan coordinator, supporting the development of NEC’s green financing framework, which received a “dark green” shade by second party opinion provider, S&P Global Ratings, reflecting NEC’s contribution towards a low-carbon climate resilient future. In addition, S&P had also recognised NEC’s progress towards integrating nature and biodiversity risks across the lifecycle of the fund from acquisitions, operations, to decommissioning.

RBS International committed to financing the continued growth of global renewable energy capacity 

Giulia Guidi, Head of ESG, NextEnergy Group, added: “NEC’s green finance framework flows from the NextEnergy Group’s Sustainability Strategy, ensuring capital drives positive impact for both nature and communities. By embedding ESG principles into its development, investment, and asset management, NEC sets the benchmark for sustainable renewable energy investment.”

Jean-Baptiste Bonnaud, Investment Director, NextEnergy Capital, said: “Working with RBS International on this green investor-backed leveraged facility marks an important milestone for the NextEnergy Group. Through the implementation of NextEnergy Group’s green financing framework, we are excited to expand our relationship with RBS International and to be recognised for our commitment to sustainability by S&P Global Ratings, underscoring our role as a responsible investor leading the transition to clean energy.”

Bryan Fashola, Director, RBS International, commented: “As sole Lead Arranger, Agent and Sustainability Coordinator, we are delighted to have supported NextEnergy Capital with this green debt facility, which highlights our commitment to accelerating the transition to a greener economy. This aligns with our pledge to provide up to £100 billion of Climate and Sustainable Funding and Financing to our customers by the end of 2025.” 

Javier Patria, Climate & ESG Capital Markets, NatWest Markets: “We’re delighted to have supported NEC on their Green Financing Framework and structure an inaugural green investor-backed leverage facility. Climate is a key focus for our business, our customers, and the economies we operate in, so we look forward to supporting NEC, and other investors, to further decarbonise the energy sector.”

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