New Distributed Energy Platform By Blackstone

Blackstone Commits $250 Million Through GSO Capital Partners To Set Up ClearGen As Financer For Distributed & Sustainable Energy Infrastructure Assets In North America
07:03 PM (Beijing Time) - 21. September 2020
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After targeting the residential solar space in the US with up to $300 million committed to Loanpal in August 2020, Blackstone has now formed a new distributed energy platform in North America aiming to capture the C&I and institutional space. (Photo Credit: Blackstone)

Key Takeaways

  • Blackstone has announced the launch of ClearGen LLC as a new financing platform for distributed and sustainable energy infrastructure assets in North America
  • It will target C&I and institutional customers in various sectors as technology, telecommunications, healthcare, real estate, and industrial
  • The new platform will seek partnerships with companies that develop, build and operate distributed infrastructure and offer flexible capital solutions

One of the world’s largest global investment firms, Blackstone is putting its weight behind the distributed and sustainable energy space with the formation of a new portfolio company ClearGen LLC. The new platform will deploy an initial $250 million fund managed by Blackstone’s global credit investment platform, GSO Capital Partners LP.

ClearGen will finance and own distributed infrastructure assets targeting commercial, industrial (C&I) and institutional customers in North America in sectors including technology, telecommunications, healthcare, real estate, industrial and other C&I energy consumers.

GSO Capital will expand the financial commitment as capital is deployed. “Our initial investment will position ClearGen to offer the full range of low-cost, flexible capital through credit and insurance businesses that allows Blackstone to be a one-stop shop for infrastructure capital needs,” said Rob Camacho, Senior Managing Director at Blackstone and Co-Head of GSO’s Structured Products group.

Blackstone said ClearGen and itself will offer flexible capital solutions and programmatic investments in partnership with equipment manufacturers, developers and energy service companies who develop, build and operate distributed infrastructure. Target segments will be microgrids, distributed generation, renewable energy along with battery storage, energy efficiency, green transportation and combined heat and power plants.

The new platform will be headed by Co-Founder and CEO George Plattenburg and Co-Founder and Chief Development Officer Collin Franceschi.

With this new platform, Blackstone is targeting the C&I segment. In August 2020, it announced a financial commitment of up to $300 million to Loanpal to offer solar system financing for 10,000 homeowners in the US in 2020 (see Blackstone Backs Loanpal For Solar Loans In US).

In March 2020, Blackstone’s peer Goldman Sachs entered a joint venture with Telos Clean Energy to develop distributed PV projects for C&I, and municipal customers in the US (see Goldman Sachs To Invest Up To $275 Million In Distributed Solar JV).

Anu Bhambhani

Anu Bhambhani is the Senior News Editor of TaiyangNews

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Anu Bhambhani