Dubai-based clean energy company Alcazar Energy has secured a significant investment of $490 million for its second renewable energy fund. This fund, known as Alcazar Energy Partners II, represents more than double the amount raised by its predecessor in 2021. The funding will significantly accelerate Alcazar’s development of utility-scale renewable energy projects in emerging markets.
The fund’s closing was bolstered by the participation of the US International Development Finance Corporation (DFC). DFC’s involvement highlights the growing international recognition of Alcazar’s role in driving the energy transition in underserved markets. Alcazar has also attracted eight additional leading investors, bringing the total number of backers to a consortium with a strong presence of institutional investors. Notably, 80% of these investors hold credit ratings of AA or AAA, signifying a high level of financial strength.
This substantial funding signifies Alcazar’s commitment to advancing clean energy access in the developing world. “With this fund, we are well positioned to continue investing in essential renewable energy projects that propel the energy transition forward in places traditionally overlooked by conventional investment sources, ” said Daniel Calderon, co-founder and managing partner of Alcazar Energy Partners.
Alcazar has already begun deploying the capital from the new fund. The company is building a portfolio of assets in the Western Balkans region. This includes two wind farms with a combined capacity of 456 megawatts (MW). This represents a significant initial step towards Alcazar’s goal of developing over 1. 6 gigawatts (GW) of clean energy capacity across its target markets.
Alcazar’s focus on the Western Balkans aligns with the region’s growing demand for renewable energy. Many countries in the region are actively seeking to diversify their energy sources and reduce their reliance on fossil fuels. Alcazar’s investments will play a crucial role in supporting these countries’ clean energy ambitions.
The company’s strategy goes beyond simply building renewable energy projects. Alcazar also places a strong emphasis on creating long-term partnerships with local stakeholders. This collaborative approach ensures that projects are not only environmentally sustainable but also contribute to the social and economic development of the communities they serve.
Alcazar Energy’s success in securing $490 million for its second fund is a testament to the growing demand for renewable energy solutions in emerging markets. The company’s innovative approach and commitment to local partnerships position it as a key player in driving the global energy transition.
