BIG MONEY BUYING NEW ENERGY

Shaw Joins KKR Buying Cleaner Energy Rivals Won’t Touch

Justin Doom, February 18, 2014 (Bloomberg BusinessWeek)

"Hedge funds and private equity firms from D.E. Shaw & Co. to KKR & Co.(KKR:US) are ramping up their investments in renewable energy projects…D.E. Shaw, the $30 billion hedge fund manager, bought stakes in five California solar plants in July and is co-developing a wind farm off Rhode Island’s coast. KKR has completed five clean-energy deals in three years, and Altus Power America Management LLC announced a joint venture Feb. 4 to develop $150 million of commercial solar projects. What’s driving this are projections of stable yields of 8 percent to 10 percent in the next few years -- better than most corporate bonds. Wind farms and industrial-scale solar plants typically have decades-long deals, known as power-purchase agreements, to sell electricity to utilities…[can provide] a steady income stream comparable to high-quality corporate bonds…” click here for more

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