Horizon Capital Invests €152 Million in Ukraine's Renewable Energy Initiatives
- Horizon Capital raises €152 million for its Catalyst Fund, targeting €300 million to support economic sustainability in Ukraine.
- The firm invests in Notus Energy's 124 MW wind project in Odesa, enhancing Ukraine's renewable energy capacity.
- The project will generate 378 GWh of clean electricity annually, creating over 300 jobs and reducing emissions significantly.
Horizon Capital Advances Renewable Energy Initiatives in Ukraine with Strategic Investment
Horizon Capital, a leading private equity firm focused on Emerging Europe, recently announces the initial closing of its Horizon Capital Catalyst Fund (HCCF), underscoring its commitment to investing in critical sectors that drive economic and environmental sustainability. The fund has successfully raised €152 million, surpassing 50% of its €300 million target, and aims to finance reconstruction in asset-heavy industries such as energy, digital infrastructure, and construction. This strategic move aligns with Horizon Capital’s vision of fostering growth and sustainability in regions like Ukraine, which is currently undergoing significant transformation in its energy landscape.
As part of its inaugural investment, Horizon Capital backs Notus Energy, a German renewable energy company, in a 124 MW wind power project located in Ukraine’s Odesa region. This initiative is not only one of the most advanced renewable energy projects in Ukraine but also represents a collaborative effort to mobilize over €220 million in total investment. The project will benefit from a structured debt package involving international development finance institutions, including the European Bank for Reconstruction and Development (EBRD) and the International Finance Corporation (IFC). Horizon Capital’s acquisition of a 45% stake in this venture signifies its active participation in a broader strategy to enhance the country’s renewable energy capacity.
The wind power project is expected to generate 378 GWh of clean electricity annually, which is sufficient to power around 120,000 households, while simultaneously reducing carbon dioxide emissions by approximately 244,000 tons yearly. Additionally, the project will create over 300 jobs during construction and 50 permanent positions, demonstrating its potential positive impact on local employment. The involvement of Oleksii Sobolev, Ukraine's Minister of Economy, Environment, and Agriculture, during the signing ceremony highlights the project's strategic importance, not only for Horizon Capital but also for Ukraine's energy transition and environmental goals.
In a broader context, Horizon Capital’s Catalyst Fund reflects a growing trend among private equity firms to engage in sustainable investments. The fund is particularly focused on capital-intensive sectors, which are essential for long-term economic resilience and ecological responsibility. By strategically investing in projects like the Odesa wind farm, Horizon Capital positions itself as a key player in the renewable energy sector, while contributing to the economic recovery and sustainability goals of Ukraine.
This investment marks a pivotal moment for both Horizon Capital and Ukraine, illustrating the critical role of private equity in fostering sustainable development and addressing the pressing challenges of climate change.