News Digest: Private Equity Spends $15 Billion on Renewable Energy

June 24, 2024

News Digest:

Private equity investors are going after renewable energy deals, many favoring equity-based private deals for leveraged buyouts due to prevailing high interest rates and an anticipated rise in power demand, especially from the growing number of data centers, says a report.

According to S&P Global Market Intelligence data, private equity and venture capital transactions during 2023 in the global renewable sector touched $15 billion, its highest levels over the past five years. Also, funds raised for renewable energy projects in recent years are now close to 25 times the value of fossil fuel asset fundraising.


Energy transaction deals involving private equity surged dramatically over the past five years with total deal value growing by a whopping 7,300%. In the United States, private equity-backed energy transition deals grew from $500 million in 2018 to over $25.9 billion in 2023.

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