EIF Commits €150 Mn To White Summit Capital Infrastructure Fund II

EIF Commits €150 Mn To White Summit Capital Infrastructure Fund II

The European Investment Fund (EIF) recently signed a €150 million commitment to the White Summit Capital Decarbonisation Infrastructure Fund II (WDIF II).

European Investment Fund (EIF), a part of the European Investment Bank Group recently signed an agreement with ‘White Summit Capital’ which forms a specialised energy transition infrastructure investment manager. The project has the support of the InvestEU programme, which aims to mobilize over €372 billion in additional investment for EU policy priorities over the period 2021-2027.

EIF’s commitment to the fund reflected the contribution WDIF II is expected to make toward advancing the EU’s objectives. These include the transition to clean energy, addressing the consequences of climate change, and ensuring the security of energy supply, among others. WDIF II, which has a target size of €500 million, is estimated to help address the funding gap in the energy transition in the middle market by supporting infrastructure companies across Europe to scale up their asset base and support their development.

Marjut Falkstedt, EIF Chief Executive said, “”In line with our objective of accelerating Europe’s energy transition, we are excited to join forces with White Summit Capital. By leveraging the expertise and financial strength of the EIF and with the support of the InvestEU programme, alongside White Summit Capital we aspire to mobilise additional capital, expedite decarbonization efforts, and contribute to building a sustainable future.”

European Commissioner for Economy, Paolo Gentiloni, said, “I am glad that together with the EIF, under InvestEU, we are supporting this fund giving the financial boost that businesses need to contribute to our decarbonization efforts. It will not only help infrastructure companies to make the necessary investments in renewable energy and energy security but also bring clear returns in terms of high-quality jobs and sustainable growth for Europe.”

Pablo Pallas, Managing Partner, White Summit Capital, stated, “We are delighted to partner with the EIF as we share many of the same objectives, including the belief that supporting smaller infrastructure companies operating in more complex energy sub-sectors is one of the keys to energy transition. Moreover, we hope that, together, we can unlock further capital deployment opportunities for the EIF’s partner organizations, such as the European Investment Bank and InvestEU, to accelerate Europe’s decarbonization”

The Fund is expected to invest in approximately 10 companies with strong management teams, in three key areas where White Summit Capital has a proven track record: (1) Renewables Integration, (2) Sustainable Transportation and (3) Decarbonisation of Industries. These investments will draw upon the White Summit Capital team’s unique combination of investing, greenfield, industrial, and energy management expertise.

White Summit Capital expects the investments made by WDIF II to comprise an initial acquisition, followed by further capital deployment through growth or development. The challenges facing the energy transition infrastructure sectors make the need for access to financing even more evident, and the investments to be mobilized by White Summit’s Fund will seek to address this need. The Fund’s seed asset, a significant stake in Zunder, has already been contributed.

Zunder is one of the leading independent Electric Vehicle Charging Infrastructure companies in Southern Europe and counts Mirova, the French infrastructure manager, as a shareholder. WDIF II is classified as an Article 9 fund under the Sustainable Finance Disclosure Regulation and has linked 20% of its performance incentives to achieving decarbonization objectives. The white Summit Capital expects WDIF II to reach a first close by the first quarter of 2024.