GreenGo Srl, the Italian company specialising in renewable energy development, has successfully concluded a convertible shareholder financing operation (equity bridge) to implement its new strategy as Light IPP Independent Power Producer. This important agreement will allow GreenGo to expand its business further and cement its evolution from developer to power producer, with the in-house realisation of a significant part of its development assets and pursuing strategic partnerships to manage the EPC (Engineering Procurement Construction) phase.
The financing operation will amount to up to EUR 15 million and will also support GreenGo’s development activities, enabling the expansion of its pipeline of renewable projects in new target regions in Northern Italy: GreenGo aims to increase its current pipeline capacity of 1.7 GW to over 2.3 GW by the end of 2024, through both organic and inorganic growth.
The most significant part of the investment will be allocated to equity for the construction of an initial batch of 40 MW ready-to-build projects in 2023, with a total capacity reaching 110 MW, which will be launched for construction in 2024.
This initiative will allow GreenGo to become a new player in producing renewable electricity following a “Light IPP” strategy with strong outsourcing of the construction and O&M phases and a highly scalable model with a capital-intensive funding process.
GreenGo will continue to develop green power generation plants leading to an additional 400 MW of solar and wind ready-to-build assets by 2024, committing to contribute to the transition to a sustainable energy system and promote the use of renewable energy in Italy and beyond.
The convertible shareholder financing will also open opportunities for M&A deals, allowing the GreenGo platform to explore synergies and growth through possible acquisitions of other companies active in the renewables sector.
The deal underlines the confidence of Eiffel Investment Group, an asset manager of funds specialised in energy transition in Europe, in GreenGo and its vision of growth in the renewable energy sector. The partnership has been reinvigorating GreenGo’s journey since 2022, when Eiffel Essentiel, the private equity fund of Eiffel Investment, invested EUR 7 million to fund its development activities. Eiffel Essentiel is a French specialised professional fund (Fonds professionnel spécialisé) reserved for professional investors.
“This transaction represents an important step forward for GreenGo and will allow us to implement our new growth strategy. We are thrilled to be embarking on a path of transformation from best-in-class developers to energy producers and being able to collaborate with important partners in the industry and the Italian and European financial system. We are grateful to Eiffel Essentiel for the renewed trust and the many synergies put in place to support the acceleration of GreenGo’s growth.”
Giuseppe Mastropieri, CEO of GreenGo
“This initiative represents a significant financial boost for GreenGo and makes us very proud. We share the conviction that GreenGo has significant growth potential in the renewable energy sector to become a market leader not only as a developer but also as an IPP thanks to its powerful professional network, increasingly senior management team, strong market appeal and extensive management capabilities across the entire renewables value chain. GreenGo is ready for a second significant phase of financial growth as a Light IPP.”
Thibault Vanpeene, Investment Director at Eiffel Essentiel
GreenGo was assisted by the international law firm Watson Farley & Williams, with a team coordinated by Managing Partner Eugenio Tranchino.
Eiffel was assisted by Squire Patton Bogs, with a team coordinated by partner lawyer Daniela Sabelli.
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GreenGo is a company specialising in the development of renewable energy. Launched in 2018 by a group of recognised professionals, GreenGo is now composed of a growing multidisciplinary team of 30 qualified staff (plus approximately 10 exclusive agents/partners) and aims to become a leading player in the Italian green economy.
As part of the FIMM Group (an investment holding company headed by Ing. Mastropieri), GreenGo aims to gather the best talent in the sector, contributing to the creation of an Italian professional hub of international standing. Increasing the value of renewable energy in Italy and Southern Europe by making cutting-edge green projects possible and feasible is the vocation that guides GreenGo’s activities.
About Eiffel Investment Group:
Eiffel Investment Group is an asset manager with €5 billion under management*. Eiffel Investment Group’s investor base comprises large institutional investors (insurance companies, mutual insurers, pension funds, banks, family offices, public investors, etc.) and retail investors via intermediated distribution.
Backed by the Impala group founded by entrepreneur Jacques Veyrat, Eiffel Investment Group cultivates strong industrial expertise, in particular in the field of the energy transition, but also in the life sciences, agri-food and digital sectors.
Eiffel finances companies and their assets through four main strategies: private debt, private equity, energy transition infrastructures and listed equities and credit.
Eiffel Investment Group’s goal is to invest in a sustainable world. Its investment strategies aim to generate not only a strong financial performance but also positive social and environmental impacts.
Eiffel Investment Group’s team counts around 100 talented professionals, mainly in France (Paris) but also in BeNeLux (Amsterdam) and in the United States of America (New York).
* early 2023, including uncalled commitments.