RGreen Infuses EUR 250 million in Israel’s Econergy Renewable

RGreen Invest, the French Asset Manager, has announced that it has taken its partnership with Israel-based Econergy Renewable Energy further with an additional EUR 87.5 million investment. In total, RGreen is investing EUR 250 million in Econergy.

The additional capital will be invested in the form of equity that will help Econergy to swell its RE projects’ pipeline. The total EUR 250 million investment is expected to be routed through  Infragreen IV and V Funds of RGreen.

The investment by RGreen into Econergy will directly support the development of solar and wind projects throughout Europe. Last February, RGreen gave EUR 50 million for the development of Econergy’s Romanian solar project of 90MW in Parau. The two companies are partners in the construction of four investment projects.

Olivier Guillaume, CIO, RGreen Invest, said, “This transaction strengthens our long-term relationship with Econergy and reflects our shared ambition to foster the growth of independent pan-European renewable energy producers and help them scale up their operations.”

Eyal Podhorzer, CEO, Econergy, said, “We are delighted with the investment from the Infragreen funds and the expansion of our strategic cooperation with RGreen Invest. Our partnership dates back to 2016 and has steadily grown stronger due to the trust-based relationship between our teams, as well as the values and alignment of interests that have consistently supported it.

“This latest agreement highlights the growing confidence of investors in Econergy’s business model and growth plans, which in 2022 has seen us launch the construction of utility-scale solar and storage projects in four different markets.

Podhorzer also said that with a pipeline of 224 projects and development capabilities that are significant, while there is volatility in the market, Econergy is ready to make the leap to reach this next milestone that will benefit all company stakeholders.

Grappled with Investments

In February this year, Phoenix Insurance, the largest insurance company in Israel, declared to provide Econergy EUR 150 million to support the construction of a number of the company’s renewable energy projects in Romania and Poland. As per the investor, within 60 days of the projects reaching the stage of commercial operation, Phoenix will have the right to convert the convertible loan granted to the projects for 49% of the shareholders’ capital and owners loans of the project partnerships.