Energy Capital Partners Raises $6.7B, Acquires Atlantica 

Energy Capital Partners closed its fifth flagship fund, totaling $6.7 billion. The fund raised $4.4 billion, exceeding its $4 billion target. The Summit, NJ-based firm received an additional $2.3 billion of co-investment capital. 

The fundraise was comparable to the firm’s prior fund, which closed with $6.8 billion in 2020. The approach remains unchanged, with a focus on investing in rapidly growing companies in power generation, renewable and storage assets, and critical sustainability and decarbonization infrastructure sectors. 

“The electricity sector is transforming into a major growth area for both the U.S. and global economy, with forecasts projecting that electricity demand will skyrocket by 1.5-2.0x over the next 15 years from current levels,” said Doug Kimmelman, founder and senior partner of ECP. 

ECP also announced its $2.6 billion take-private deal for Atlantica Sustainable Infrastructure, a renewable and power platform with assets located primarily across the U.S. and Europe.  

ECP will pay $22 per share in cash, an 18.9% premium to Atlantica’s closing share price on April 22, the last trading day prior to the emergence of market rumors regarding a potential acquisition, but a 6% discount to Friday’s $23.42 closing price.  

Algonquin Power & Utilities, which combined with its Liberty B.V. subsidiary owns 42.2% of Atlantica, said it will vote in favor of the deal terms. 

ECP has been active in the power space since its inception in 2005, and its 2018 purchase of Calpine Corporation, one of the largest natural gas and renewable generators in the U.S., was one of its most notable transactions. 

Don’t miss the Connect Money: Real Assets Capital Raise event on June 5 in Chicago at the W City Center. Meet infrastructure investing experts like Michael Underhill, founder and CIO, Capital Innovations.