SC Capital Renewables Platform Buys New Zealand Solar Project Portfolio for $135M

Renewable energy fund manager SC Oscar has acquired a New Zealand solar power developer as the first investment under the Singapore-based firm’s maiden infrastructure fund.

Backed by private equity firm SC Capital Partners, SC Oscar bought Ranui Generation on behalf of SC Renewable Energy Plus Fund 1, the company said Tuesday in a release. The acquisition includes four development-stage solar power projects in New Zealand with a total capacity of 157 megawatts (peak), at an investment of $135 million for the portfolio.

SC Capital, led by Thai financier Suchad Chiaranussati, set up SC Oscar in 2022 in partnership with Oscar Energy, a developer-operator founded by ex-KPMG climate change guru Des Godson. The platform was attracted to Ranui’s quality portfolio and New Zealand’s robust and competitive electricity market, said SC Oscar co-founder and CEO Conor McCoole.

“SC Oscar aims to create long-term value for investors by investing in the energy transition and we are delighted to support New Zealand in its commitment to a full transition to renewable energy,” said McCoole, a former Standard Chartered banker.

$300M Fund Target

SC Renewable Energy Plus Fund 1 achieved its second closing in March and seeks to raise $300 million after having received capital commitments from Southeast Asian companies and a family office, according to SC Oscar.

With support from the fund, Ranui will immediately begin construction of the first solar project in the North Island’s Northland region and accelerate development of the three other greenfield projects on the island, with construction scheduled to start in 2025.

New Zealand’s installed capacity of solar power generation exceeded 437MW at the end of May, government statistics show. The ruling National Party ran for office last year on a platform of doubling the country’s renewable energy supply by cutting red tape.

The investment in Ranui is the first of several that SC Oscar plans as part of a commitment to renewable energy and energy transition real assets in Asia Pacific, the firm said.

Powering Up

SC Capital joins a budding trend of fund managers getting involved in renewable energy investments, with Digital Edge earlier this month unveiling a partnership to collaborate on renewable energy projects to power its Asia Pacific data centres.

Singapore-based Digital Edge and renewable energy developer and producer Peak Energy — both backed by US private equity firm Stonepeak — will jointly pursue an initial pipeline of 500MW of operating capacity for existing and planned data centres over a three-year period.

In May, PAG announced the closing of its maiden fund focused on renewable energy, with the pan-Asian private equity firm having won $550 million in committed capital for the new vehicle.

Asia Pacific will require more than $2 trillion worth of investment in renewable power generation and energy storage over the next decade, according to Hong Kong-based PAG.