APAC-focused alternative investment firm PAG has launched PAG Renewables, a wholly-owned platform that will invest over $1 billion in renewable energy in Asia over the next several years.
Following its acquisition of NASDAQ-listed First Solar’s project development platform in Japan in May, PAG has added First Solar’s development and operations teams to its real assets business to form the core of PAG Renewables. James Buford, executive officer of First Solar Japan, is now president and CEO of PAG Renewables.
PAG Renewables will also operate and manage PAG’s existing renewables portfolio.
The acquisition of the Japan-based assets, combined with PAG’s existing portfolio in renewable energy, makes PAG Renewables one of Japan’s largest platforms in the space with more than 600 MW DC of capacity.
“At PAG, sustainability is a core tenet of our investment philosophy and the transition to domestically-produced, clean energy in APAC will require an investment of trillions over the next decade. Investing in that transition is not only the right thing to do but a tremendous opportunity for PAG Renewables,” said J-P Toppino, president of PAG.
The firm operates three core strategies in the Asia Pacific, including private equity, credit and markets, and real assets. By the end of March 2022, PAG had more than $50 billion of assets under management.
PAG Real Assets, which was founded in 1997 as Secured Capital Japan, has to date invested $32 billion across more than 7,000 properties in the Asia Pacific region.
Last year, the real estate business launched FLOW Digital Infrastructure, a data centre and digital infrastructure platform focused on APAC.
Later in May this year, FLOW Holdings I Philippines Pte Ltd, a vehicle of FLOW Digital Infrastructure, joined hands with AyalaLand Logistics Holdings to develop carrier-neutral data centres across the Philippines.
PAG Real Assets is managing five funds, including SCREP V, VI and VII – the firm’s opportunistic real estate funds focused on Japan, China, Korea and other selected markets as well as two pan-Asian core-plus/value-add real estate vehicles under the PAG Real Estate Partners series.
Earlier in March, PAG filed for an initial public offering in Hong Kong that could reportedly raise up to $2 billion as one of the largest listings in the city this year.