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Solar Investment Group launches new funds

Solar Investment Group, a Milan-based solar developer has launched its second development fund and third solar asset fund, targeting investments of up to 250MW of solar energy projects in Italy to take advantage of the strong Italian feed in tariff program.

The firm, which develops solar plants in Italy, is in the process of closing their first fund after developing 28mw over the last 18 months, delivering an IRR of over 40%.

The second fund will be used to develop 1-5mw ground mount projects in southern Italy. The fund is scheduled to close funding in early April, develop projects over the next three years and close in the fourth year. Once developed, these solar plants will be sold ongoing to either the Asset fund or other interested buyers. According to SIG, the IRR for this fund is 25%+.

The third fund will purchase, own and operate the solar plants in the assets. The Asset fund will have the right of first refusal to all of the development fund projects. It will only buy existing functioning solar assets. The asset fund will have a targeted IRR of 10%+ for 20 Years based on the Italian FIT program guaranteed payment schedule.

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