Private equity firm Darby Overseas Investments invests $30m in Brazilian clean energy producer Eletrogóes

24th July 2009

Private equity firm Darby Overseas Investments, through its Brazil Mezzanine Infrastructure Fund (BMIF), has invested $30m in Brazilian clean energy producer Electrogóes.

‘We are pleased to add Eletrogóes to our BMIF portfolio. The company fits perfectly with our strategy of investing in medium-sized companies with strong growth prospects, high calibre management and excellent product quality,’ said David Hudson, Darby’s senior managing director.

Electrogóes, a holding of GEA, owns a 73.5MW hydro plant and a 24MW biomass-fired thermal power plant in northern Brazil, both of which are expected to be completed and commissioned by September 2009. The plants will substantially improve the availability of electricity in the region while replacing energy from diesel and heavy oil-fired sources.

Darby’s new stake in Electrogóes aligns with the company’s investments in clean and renewable energy projects in several countries, among which are projects in South Korea, India, and Poland. The deal is the first for Darby’s Brazil Mezzanine Infrastructure Fund, which is a joint venture with the Stratus Group that closed to new investors in 2008 at a total of $236m in committed capital.

Darby Overseas Investments is the private equity arm of Franklin Templeton Investments.

Copyright © 2009 NewNet