Copenhagen Infrastructure Partners (CIP) has entered into an arrangement to divest 49 percent of the Monegros onshore wind portfolio in a fund run by Arjun Infrastructure Partners (Arjun).
The portfolio of Monegros consists of 12 onshore wind farms with a combined installed capacity of 487 MW situated in Aragon, Spain. Monegros is part of Copenhagen Infrastructure III K/S (CI-III), a CIP run energy infrastructure fund of €3.5 billion.
“We welcome Arjun as partner in the Monegros portfolio and are pleased to enter in this transaction that recognises the value generated so far by CIP and its partners during the development and construction phase of this high-quality portfolio. With the projects now entering commercial operation, we are confident that further value will be delivered as the wind farms commence generating material volumes of subsidy-free renewable power that contributes towards the decarbonisation targets in Spain.”Christian Skakkebæk, senior partner at CIP.
“We are delighted to partner with CIP and to invest on behalf of our clients in the Monegros portfolio. It has all the environmental credentials that we and our clients value and expect and offers an attractive sustainable, long-term risk / return profile. Monegros adds a quality onshore wind portfolio to Arjun’s existing renewables portfolio in Europe of circa 2,000 MW total gross capacity.“Romain Py, managing director at Arjun Infrastructure.
After the development rights of the Monegros projects have been acquired by CI-III, significant value has been developed, initially in the development phase and subsequently in the construction phase, which is now nearing completion on schedule and on budget, considering the challenges caused by Covid-19.
Power generation from the Monegros portfolio has been contracted under a long-term PPA, and in July 2020 a group of six banks pledged a loan package of approximately €380 million available for disposal after the wind farms have commercial operations data (COD). Following the close of the deal, CI-III will remain the majority shareholder and the Monegros portfolio director.