Marathon Capital, LLC (“Marathon Capital”) is pleased to announce Capital Dynamics, an independent global private asset management firm, completed the sale of a majority interest in its Beacon portfolio to TortoiseEcofin and Shikun & Binui America. Each buyer has acquired a 49.5% ownership of the portfolio and Capital Dynamics retains a minority stake of 1%. Marathon Capital acted as exclusive financial advisor to Capital Dynamics on the transaction.
Marathon Capital’s extensive experience in solar M&A and deep knowledge of the solar market helped Capital Dynamics successfully identify and transact with two leading global infrastructure investors. Marathon Capital led a targeted marketing process and explored structural variants with potential partners, before ultimately negotiating and executing two simultaneous sales to best accommodate the priorities of both Capital Dynamics, as well as TortoiseEcofin and Shikun & Binui America.
The 107.8 megawatt (MWdc) Beacon portfolio consists of two projects: Beacon II (59.6 MWdc) and Beacon V (48.2 MWdc). Both sites interconnect and sell power to the Los Angeles Department of Water and Power (“LADWP”), each under a 25-year fixed rate Power Purchase Agreement. The assets were wholly acquired from SunEdison during Q1 2016 and achieved commercial operations in Q4 2017.
“Marathon Capital is proud to have advised Capital Dynamics on the sale of two high quality solar assets to Tortoise, a well-respected asset owner, and Shikun & Binui, a global infrastructure investor making their first renewable investment in the US. Capital Dynamics is well known for developing and managing de-risked, high quality renewable assets. We are confident that these assets will provide attractive yielding returns for the new investors.” – David Kirkpatrick, Managing Director & Co-Head of West Coast Office, Marathon Capital.
Arevon Asset Management will continue to oversee operations of the portfolio on a day-to-day basis.
About Capital Dynamics
Capital Dynamics is an independent global asset management firm focusing on private assets including private equity, private credit and clean energy infrastructure.
Capital Dynamics’ Clean Energy Infrastructure is one of the largest renewable energy investment managers in the world with USD 6.6 billion AUM1 and has one of the longest track records in the industry. The CEI strategy was established to capture attractive investment opportunities in the largest and fastest growing sector of global infrastructure – proven renewable energy technologies, primarily in North America and Europe, across solar, onshore wind, energy storage and related infrastructure with a focus on both utility-scale and distributed generation technologies. The CEI platform’s dedicated asset management business provides highly-specialized services to ensure optimal performance and value from projects. The CEI strategy currently manages 7.9 GWdc of contracted gross power generation across more than 150 projects in the United States and Europe,2 and is one of the top 3 global solar PV owners.3
Since the CEI platform’s inception in 2010, over 17 million metric tons of greenhouse gas emissions have been avoided as a result of the firm’s renewable investments.4 This is equivalent to the power needed to supply more than 3 million homes or passenger vehicles for one year.5 In 2020, the CEI strategy received top rankings from GRESB (the ESG benchmark for real assets) for commitment to sustainability, and in 2019 awarded Global PE Energy Firm of the Year by Private Equity International. For more information, please visit: www.capdyn.com.
1 Capital Dynamics, as of September 30, 2020. Includes assets in renewable energy projects managed by Capital Dynamics, including USD 4.2 billion assets under discretionary management and USD 2.4 billion tax equity assets. Tax equity is a financing solution for renewable energy projects.
2 Capital Dynamics, as of September 30, 2020. Includes operational assets, partially commissioned assets and contracted assets with PPAs secured.
3 Renewable Assets (Owners) League Tables. Bloomberg New Energy Finance as of September 30, 2020. Includes (i) assets with financing secured / under construction, (ii) partially commissioned assets, and (iii) commissioned assets projects globally, excluding China.
4 Environmental benefits are based on US Environmental Protection Agency Greenhouse Gas Equivalencies Calculator.
5 Environmental benefits are based on US Environmental Protection Agency Greenhouse Gas Equivalencies Calculator.
TortoiseEcofin brings together strong legacies from Tortoise, with expertise investing across the energy value chain for more than 20 years, and from Ecofin, which has roots back to the early 1990s. Ecofin is a sustainable investment firm dedicated to uniting ecology and finance. Our mission is to generate strong risk-adjusted returns while optimizing investors’ impact on society. We are socially-minded, ESG-attentive investors, harnessing years of expertise investing in sustainable infrastructure, energy transition, clean water & environment and social impact. Our strategies are accessible through a variety of investment solutions and seek to achieve positive impacts that align with UN Sustainable Development Goals by addressing pressing global issues including climate action and clean energy. Ecofin Investments, LLC is the parent of registered investment advisers Ecofin Advisors, LLC and Ecofin Advisors Limited (collectively “Ecofin”).
About Shikun & Binui
Established in 1924, Shikun & Binui Ltd. (S&B) is an experienced construction, development and real estate group, headquartered in Israel and active globally. S&B is publicly traded on the Tel Aviv Stock Exchange (SKBN) and is active in Israel and globally in the development and construction of large scale, complex heavy civil infrastructure projects including solar and energy related projects. S&B has been active in the U.S. since 2012 and is now operating out of Pittsburgh, PA through its energy subsidiary, Shikun & Binui USA Energy, its infrastructure development and equity subsidiary, Shikun & Binui Concessions USA, Inc. and its construction subsidiary, Shikun & Binui America, Inc.