Schroders Greencoat, the specialist renewables and energy transition infrastructure manager of Schroders Capital, today announces a £170 million commitment from the Environment Agency Pension Fund (EAPF) into its UK flagship private markets fund, Greencoat Renewable Income LP (GRI).
GRI is the largest UK secure income fund of its kind and will be open to investors until the end of the year.
GRI invests exclusively in UK renewable infrastructure assets that generate stable, inflation-protected income streams over a long-term horizon, targeting a diversified portfolio of wind, solar and bioenergy assets. The fund also makes opportunistic allocations to other energy transition infrastructure leveraging technologies such as heat pumps and green hydrogen electrolysis.
To date, it has deployed over £1 billion, gaining exposure to over 165 assets across the UK. Recent investments include stakes in the largest operational solar portfolio to ever be traded in the UK, the largest district heating platform in the UK, the largest portfolio of hydrogen infrastructure in development supported by the UK Government, and a 630MW operating offshore wind farm1.
With the commitment from the EAPF, GRI now stands at £1.35 billion with the final close set for December 2024. The EAPF is one of the founding members of the Brunel Pension Partnership, a long-standing client of Schroders Greencoat and significant investor in GRI and other Schroders Greencoat funds.
This commitment represents another example of Local Government Pension Schemes (LGPS) and, in particular, the EAPF and other like-minded funds in the Brunel Pension Partnership, taking steps to deliver impact-focused investments targeted at UK renewable infrastructure. It is also supportive of the EAPF’s climate targets and net zero strategy, as well as the UK Government’s levelling up ambitions.
Tatiana Zervos, Portfolio Manager, Schroders Greencoat, said:
“Renewable infrastructure assets are the backbone of the energy transition and, as the largest asset manager of operational wind and solar assets in the UK, Schroders Greencoat is able to offer its clients direct access to these opportunities with long-term reliable, inflation-linked cashflows via a diversified strategy.
“Our track record means we are a trusted partner for influential investors such as the EAPF and we’re delighted to build on our relationship with Brunel which dates back to the fund’s inception in 2019.”
Craig Martin, Chief Pensions Officer, Environment Agency Pension Fund, said:
“Driving the UK transition to a low carbon economy in partnership with Brunel, Schroders Greencoat and the GRI fund was a natural fit for EAPF. We have a long-standing target of achieving 17% AUM in climate solutions by 2025. This investment will help us achieve this, and support the UK’s levelling up agenda. We look forward to working with the team and our Brunel partner investors to scale UK renewables.”
Richard Fanshawe, Head of Private Markets, Brunel Pension Partnership, said:
“We are very pleased to have facilitated this investment for the Environment Agency Pension Fund to invest into Greencoat Renewable Income alongside its Brunel pool partners Avon, Cornwall, Dorset, Oxfordshire and Wiltshire. This investment achieves multiple Impact, Levelling Up, energy transition, and return ambitions in one fell swoop for the Environment Agency, whose remit is country-wide, not county-specific.”
For further information, please contact:
Andy Pearce, Head of Media Relations | +44 20 7658 2203 | |
Rachael Dowers, PR Manager | +44 207 658 2086 | |
Justine Crestois, PR Executive | +44 20 7658 5186 |
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Schroders Greencoat
Schroders Greencoat LLP, formerly Greencoat Capital LLP, is a specialist manager dedicated to the renewable and energy transition infrastructure sector. With teams in London, Dublin, Frankfurt, Copenhagen, Switzerland and Madrid, as well as in New York and Chicago, and around £10 billion under management*, Schroders Greencoat is one of the largest dedicated managers in Europe. It was founded in 2009 and currently has fund mandates with strategies investing into wind, solar, bioenergy and energy transition in the UK, Europe and the United States. In total, Schroders Greencoat manages over 325 renewable infrastructure assets with an aggregate net generation capacity of over 6.0 GW*.
For more information, please visit https://www.schrodersgreencoat.com.
* As of 31 December 2023.
Schroders Capital
Schroders Capital provides investors with access to a broad range of private market investment opportunities, portfolio building blocks and customised private market strategies. Its team focuses on delivering best-in-class, risk-adjusted returns and executing investments through a combination of direct investment capabilities and broader solutions in all private market asset classes, through comingled funds and customised private market mandates.
The team aims to achieve sustainable returns through a rigorous approach and in alignment with a culture characterised by performance, collaboration and integrity.
With $93.7 billion (£73.5 billion; €84.8 billion)* assets under management, Schroders Capital offers a diversified range of investment strategies, including real estate, private equity, secondaries, venture capital, infrastructure, securitised products and asset-based finance, private debt, insurance-linked securities and BlueOrchard (Impact Specialists).
*Assets under management as at 31 December 2023 (including non-fee earning dry powder and in-house cross holdings)
Schroders plc
Schroders is a global investment management firm with £750.6 billion (€866.2 billion; $956.9 billion) assets under management, as at 31 December 2023. Schroders continues to deliver strong financial results in ever challenging market conditions, with a market capitalisation of circa £7 billion and over 6,400 employees across 38 locations. Established in 1804, the founding family remains a core shareholder, holding approximately 44% of Schroders’ shares.
Schroders has benefited from a diverse business model by geography, asset class and client type. It offers innovative products and solutions across four core growing business areas; asset management, solutions, Schroders Capital (private markets) and wealth management. Clients include insurance companies, pension schemes, sovereign wealth funds, high net worth individuals and foundations. Schroders also manages assets for end clients as part of its relationships with distributors, financial advisers and online platforms.
Schroders aims to provide excellent investment performance to clients through active management. It also channels capital into sustainable and durable businesses to accelerate positive change in the world. Schroders’ business philosophy is based on the belief that if we deliver for clients, we will deliver for our shareholders and other stakeholders.