Migdal and Menora Mivtachim helped renewable energy infrastructure developer Fu-Gen with fresh funding which will help expand its operations in the UK and Finland. This is a deal from the renewable energy space, which continues to see much momentum in the context of energy transition.
Switzerland-based renewable power producer Future Generation (Fu-Gen) raised €320m ($343m) from investors including insurance providers Migdal and Menora Mivtachim. Family office Arkin Group filled out the participants in the round, each providing about €100m of equity funding to the company. The cash will go the company’s onshore wind, solar and green hydrogen projects.
Launched in 2017, Fu-Gen develops greenfield renewable energy infrastructure including wind and solar power projects across the Nordic countries, boasting more than 1.5 GW of assets in development. The company also intends to expand its presence in the UK and Finland and add battery storage systems to its portfolio later in 2022.
Fu-Gen is part of the broader renewable energy tech space which has not been outside the radar of corporate venture investors, as the chart below summarising our data shows. Last year was a record one for the number of corporate-backed deals (57) we have reported in categories like solar, wind, tidal and hydrogen energy (excluding battery and storage tech). More notably, the number of such deals appears to be still very much in upward momentum so far this year, with 32 rounds already reported, worth a record estimated capital of $1.93bn. As the world moves to net zero to tackle climate change, the interest in the space is hardly surprising and likely to remain heightened in the medium and long run.