APG will invest $400 million in Doral Renewables, a leading U.S. developer, owner, and operator of renewable energy and storage projects. The minority equity investment is made on behalf of APG’s largest pension fund client ABP.
APG’s investment in and partnership with Doral Renewables should accelerate the development and construction of the company’s renewable energy pipeline. As part of the transaction, APG will provide its pro rata share of corporate credit support for Doral Renewables’ business and have the option to invest up to an additional $185 million of capital into the business over time.
Doral Renewables is executing an owner-operator Independent Power Producer (IPP) model, partnering with agricultural communities across the U.S. to build large-scale, greenfield projects that meaningfully advance the energy transition. The Company’s project pipeline totals over 12 gigawatt (GW) and includes 1.35 GW of projects under construction and approximately 2 additional GW of mature projects slated to start construction within the next 12 months. Doral is also an industry leader in agrivoltaics where traditional farming practices are implemented in and around the solar farm to maximize land use, enhance biodiversity and preserve heritage farming.
Joint ambition
“We are thrilled to welcome APG as a partner and now the largest individual shareholder in Doral LLC”, said Evan Speece, Chief Financial Officer of Doral Renewables in the press release of the company. “APG’s sophistication as an investor and its experience in the U.S. renewable energy market will together with the strength and support of our existing partners continue to propel our success. With over 3 GW of projects in the process of being commercialized over the coming few years, we are excited to enter this next phase of growth with APG’s backing.”
“This investment on behalf of ABP is very well aligned with our joint ambition to contribute to the energy transition globally”, said Steven Hason, Managing Director, Head of Americas Real Assets at APG. “We look forward to expanding our renewables portfolio and to working with Doral Renewables, a like-minded partner.”