Swiss Investment Fund
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Alcazar Energy Partners II

The Private Equity Fund aims to finance and develop Solar PV, onshore Wind Farms, and other mid-market renewable energy projects in the Middle East, North Africa, Central Asia, and the West Balkans.

Alcazar Energy Partners II

The Private Equity Fund aims to finance and develop Solar PV, onshore Wind Farms, and other mid-market renewable energy projects in the Middle East, North Africa, Central Asia, and the West Balkans.

Investment strategy

The Fund’s investment objective is to build a diversified portfolio by investing in utility-scale renewable energy (RE) projects in selected emerging markets, with a primary focus on Solar PV and onshore wind in the mid-market segment of RE projects (average net installed capacity of 100 MW). It will mainly invest in greenfield development projects in 3 to 4 selected countries within the Middle East, North Africa and Turkey and Eastern Europe and Central Asia regions.

Development Rationale

The target region’s energy mix is still mainly driven by fossil fuels by over three quarters in 2021. Providing financing to RE projects will decrease the countries’ reliance on imported fossil fuels and re-duce GHG emissions. RE construction will play an important role in job creation, especially for lower-skilled segments. Further-more, increased electricity supply is known to have “enabling effects” for job creation throughout the economy, allowing entrepreneurs and enterprises to start and grow businesses more easily.

Investment Rationale

The fund primarily supports the contribution of essential goods (access to reliable & clean energy) and contribute to climate mitigation but also to job creation in priority countries of the Swiss international cooperation. SIFEM invests alongside other DFIs/MDBs such as EIB, EBRD, IFC, DFC, AIIB, FMO, Proparco, KfW, and private sector investors such as EMCAF (sponsored by EIB and Allianz), a Swiss Insurer.

Contribution to strategic objectives

  • Job creation: directly in the construction sector and indirectly throughout the economy
  • Contribution to essential goods/innovation: access to reliable & clean energy
  • Climate mitigation/adaptation: clean energy production
  • Gender equality: fulfilling criteria 3 (Employment) and expeting to fullfill 5 (Investment through Financial Intermediaries)

Additionality

  • Sustainability Additionality: Fund manager’s ESMS system and focus on safe working conditions
  • Financial Additionality: Provision of long-term capital
Reference code
2023-04
Status
Committed
Date of commmitment
November 2023
Date of exit
-
SIFEM commitment
USD
15,000,000
Asset class
Infrastructure
Investment strategy
Investment through Fund

Target region

Middle East & North Africa
Central Asia
Balkans

Target countries

Albania
Bosnia and Herzegovina
Egypt, Arab Rep.
North Macedonia
Serbia
Fund manager
Alcazar Energy Management Services L.L.C-FZ