Global alternative asset and private equity investor KKR announced today that it has led a significant structured investment in renewable energy developer Arevia Power, with participation by alternative asset management solutions provider GCM Grosvenor.
Proceeds from the investment will support the development of solar and wind projects by Arevia across the U.S.
Founded in 2015 by Mark Boyadjian and Ricardo Graf, Arevia originates, permits and manages renewable energy projects through their life cycles, with activities including market research and site identification to battery storage, financing, construction, and power purchase agreements, among others.
Boyadjian, said:
“Now is a critical time for the energy transition, and we are elated by this milestone that gives us the flexible capital needed and the right partners to expand our solar and wind project pipeline throughout the country in a thoughtful way.”
The transaction marks the latest in a series of energy transition-focused moves for KKR, including the recent €1.6 billion acquisition of renewable energy producer Albioma, and the launch of Aster Renewable Energy in April, an Asia-focused renewable energy investment platform. Since 2011, KKR and its subsidiaries have deployed over $15 billion in equity to invest in renewable assets, which have an operational power generation capacity of over 23 GW.
Samuel Mencoff, a Director on KKR’s asset-based finance team, said:
“We’re thrilled to build on our strategy of investing behind premier developers like Arevia as the need and demand for renewable energy rapidly accelerates. Arevia’s experience successfully executing critical development projects and deep network position it at the forefront of the industry amid strong economic and public policy tailwinds. We look forward to supporting the company in its efforts to shift toward cleaner sources of energy supply.”
In addition to the investment, Arevia has also announced that it has executed a Responsible Contractor Policy for its clean energy portfolio across the U.S., which promotes a highly skilled workforce with a commitment to health and safety on the job, fair wages, and benefits, and future workforce development.
Akhil Unni, Managing Director at GCM Grosvenor, added:
“With our investment, we are helping Arevia pursue its mission to drive change by building large-scale renewable infrastructure projects. Not only are we putting capital to work in a way that helps support environmentalEnvironmental criteria consider how a company performs as a steward of nature. sustainability and meet applicable renewable portfolio standards, but we are also proud of Arevia’s commitment to an organized skilled workforce.”
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