Scatec’s Release Secures USD 102 Million Funding to Accelerate Renewable Energy Growth Ambitions
Scatec’s subsidiary, Release, has signed an agreement with Climate Fund Managers (CFM) to raise USD 102 million in funding. Release, established by Scatec in 2019, offers a flexible leasing solution for pre-assembled solar and battery equipment in the mining and utilities market. CFM, a climate-centric fund manager, will invest in Release through its Climate Investor One (CIO) fund, supporting renewable energy infrastructure in emerging markets. CFM will contribute USD 55 million in equity for a 32% stake in Release, while Scatec retains the majority shareholding of 68%.
Scatec’s CEO, Terje Pilskog, expressed excitement about the partnership with CFM, highlighting Release’s unique renewable energy solution and its potential for rapid growth in the market. The transaction allows Release to become a strong and independent company, while Scatec continues to offer support and drive synergies. Release is already making strides in the market, particularly in African utilities, with ongoing projects in multiple countries and additional contracts in the pipeline. The company aims to address power supply shortfalls in the region through its flexible leasing model for renewable power plants.
Opinion: The partnership between Scatec’s Release and CFM marks a significant step towards addressing the climate crisis by promoting renewable energy solutions in emerging markets. The infusion of funding and impact finance integration will enhance Release’s ability to offer competitive pricing and support the reduction of emissions in the mining and utility sectors. This strategic move positions Release for further growth and positive impact in the African energy landscape.
