US investor TCW has teamed up with global reinsurer Swiss Re and advisory firm Conning & Company to raise a €329.2 million (€444.3 million) fund for investments in the clean energy sector.
The fund will provide mezzanine and equity capital for environmentally-friendly energy initiatives, including wind, solar, hydro-electric, geothermal and waste-to-energy projects, looking to target projects with stable cash flows and returns.
It will also look at ways to generate carbon credits and acquire tradeable renewable energy certificates.
The fund has been awarded a mandate by the United Nations Economic Commission for Europe to participate in special project financing initiatives, and it will also receive UN grant money for Kyoto and climate change related projects.
TCW will manage the fund, while Swiss Re will be the cornerstone investor and carbon advisor. Conning acted as the placement agent.
TCW’s Energy & Infrastructure Group invests in the energy sector globally, with more than $7.4 billion of capital committed to about 200 energy projects.