GLOBAL

CDPQ and Lightsource BP Form £150m Solar Financing Platform

Caisse de dépôt et placement du Québec (CDPQ), a long-term institutional investor, and Lightsource BP today announced a debt investment of £150 million (CA$260 million), to finance a portfolio of solar assets owned and managed by Lightsource BP. Lightsource BP is a global leader in the funding, development and long-term operation of solar projects.

The facility will initially be used to finance a diversified portfolio composed of over 100 solar projects located across various countries and totalling more than 700 MW. Over time, the facility could expand with further investment from CDPQ funding assets developed through the Lightsource BP pipeline.

This partnership aligns perfectly with CDPQ’s investment strategy in addressing climate change through low-carbon investments. Alongside Lightsource BP, it invests in solar projects, an asset class that will continue playing a key role across the energy transition landscape.

Founded in 2010, Lightsource BP has established operations across EMEA, APAC and the Americas, supported by an in-house team of over 350 specialists. With over 2 GW of solar capacity currently under management, Lightsource BP’s ambition is to become the world’s first global solar brand, targeting around 10 GW in the next 5 years.

“We’re very proud to be partnering with CDPQ. This platform marks the beginning of a very exciting opportunity for both companies as it supports both Lightsource BP’s ambition to become a world leading owner and operator of solar assets and CDPQ’s commitment towards sustainable investing. We intend to grow the platform and seek further funding for assets to be developed over the next few years”, said Paul McCartie, Group Chief Investment Officer, Lightsource BP.

“Lightsource BP has high-quality assets and has built itself an enviable positioning in its industry, and CDPQ is thrilled to support the company in its global development,” said Marc Cormier, Executive Vice-President, Fixed Income. “This transaction is perfectly aligned with CDPQ’s willingness to participate in the energy transition, primarily by investing in low-carbon assets, as we have just increased our investment target for these assets by 2020.”

CDPQ announced at the end of March that it had raised its 2020 low-carbon asset under management target from $26 billion to $32 billion. This initiative is part of CDPQ’s investment strategy to address climate change and capture opportunities from the transition to a low-carbon economy. CDPQ also aims to reduce its carbon footprint by 25% per dollar invested by 2025.