KGAL ESPF 5 has entered the Czech market with the purchase of a solar project near the city of Most in north Bohemia. The project is being sold by Sev.en Inntech a.s.
The solar park “PVPP Saxonie” is a renewable energy project developed by Sev.en Inntech a.s. in the post-mining area of the former lignite quarry CSA, located in the Most district. This project is part of the company’s extensive portfolio of sustainable and innovative initiatives both within and outside the Czech region of North Bohemia.
KGAL has partnered with Sev.en Inntech and Micronix for the realization of the solar park. This marks the eleventh transaction for ESPF 5 in its sixth European country. The final closing of this Article 9 impact fund will take place in October 2024. As an EPC service provider, Micronix is responsible for the construction of the solar park. Since the company will also acquire a minority stake in the project, there is an even greater interest in completing the project on schedule. KGAL has already worked successfully with Micronix in the past.
The construction phase of the 50-megawatt project will begin soon. The selling Czech company also operates the local power grid to which the solar park will be connected next year. The electricity will primarily be sold through a long-term power purchase agreement (PPA).
“Over 80% of the €350m in equity has already been allocated and 43% deployed,” emphasised Florian Martin, Co-CEO at KGAL. “Through its investments, our impact fund covers all life cycle phases from project development to operations. Investments are generally made at an early stage in order to participate in a large part of the value creation.”
