Solar and storage developer Elgin Energy has acquired a large solar and storage portfolio from a fund managed by Foresight Group.
The 318 MW portfolio consists of six sites across the UK in various stages of development. Of the newly acquired projects, four – with a combined capacity of 164 MW – won contracts in the most recent Contracts for Difference (CfD) Allocation Round 6 (AR6), which took place in autumn 2024. Elgin said it expects construction will begin on a number of projects in the first half of this year.
This is not the first time Elgin Energy and Foresight Group have worked together. The two companies have had a business relationship for almost five years and formed a joint venture in September 2020 with the aim of developing 200 MW of new solar PV capacity in England, Wales and Scotland.
Elgin has not yet responded to a request for comment, but Elgin CEO Ronan Kilduff reportedly told other news outlets: “The acquisition of this portfolio marks a defining moment for Elgin as we solidify our position as an independent power producer (IPP) . ). These projects represent our commitment to delivering tangible, high-quality sustainable energy solutions that align with the UK’s net zero ambitions. We look forward to seeing these projects come to fruition and play a key role in the country’s energy transition.”
Additionally, Anouska Morjaria, associate investment director at Foresight, added: “We are pleased to have completed the sale of this portfolio of solar and storage projects to Elgin, having co-developed the projects since 2020. The realization of this investment underlines our commitment to building sustainable energy solutions.”
Elgin gets back up
This is the first major asset purchase Elgin has participated in since receiving a significant investment boost last spring. In April 2024, investment company Copenhagen Infrastructure Partners (CIP) acquired a majority stake in Elgin Energy for £250 million, with the intention of helping Elgin Energy deliver a 15 GW project portfolio.
In previous years, Elgin Energy appeared to be withdrawing from the UK solar market, having sold significant parts of its portfolio between early 2021 and February 2024. In January 2021, Elgin Energy announced that it had completed what was then the largest sale of its solar portfolio. in Britain, selling a 519MW solar PV portfolio and a 70MW battery energy storage system (BESS) project to ScottishPower Renewables, which owns international utility Iberdrola. Elgin sold another 100 MW solar portfolio to Pennon Power, a subsidiary of British water company Pennon Group, in 2023, and sold an Irish portfolio of 16 projects with a total capacity of 191 MW to investment group Allianz Capital Partners in February 2024.
In more recent months, Elgin has expressed his intention to transition to an IPP. In June 2024, the company secured a £60 million revolving credit facility from Banco Bilbao Vizcaya Argentaria (BBVA) to support this mission, which the company said would be used to expand its team and pipeline in new and existing markets. to support its 15GW development portfolio.
The following month, Elgin entered into a development rights agreement with Severn Trent Green Power to build three large-scale solar PV power stations in Leicestershire, Warwickshire and North Yorkshire. The three projects are classified as ‘ready to build’, with network contracts, building permits and land leases secured.
