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20 AUGUST 2026 AL CIRCLE

Voltalia eyes €120m IFC funding for solar, BESS projects through 2028

EDITED BY : NILANJANA BANERJEE 2MINS READ

Solar Panel Manufacturing

Stock image for referential purposes only

Voltalia has reached an agreement with the International Finance Corporation (IFC) for a proposed investment of up to EUR 120 million (USD 140.3 million) in shares of its subsidiary, Voltalia Management International B.V. The collaboration has materialised as the renewable energy company seeks to accelerate its solar power and battery energy storage system (BESS) expansion through 2028.

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EUR 120 million investment planned in two tranches

The proposed long-term investment would be provided in two stages, beginning with an initial EUR 75 million (USD 87.68 million), followed by up to EUR 45 million (USD 52.6 million). The amount and timing of the second tranche would depend on Voltalia’s funding needs and business performance.

The proceeds would be dedicated to projects that meet eligibility criteria agreed with the IFC, especially photovoltaic solar (PV solar) and BESS projects scheduled for construction and operation between 2026 and 2028. 

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The preferred shares would carry a base remuneration of 6.5 per cent, with potential adjustments from the fifth and seventh anniversaries of the agreement. An additional adjustment would be linked to the company’s sustainability performance targets.

The instrument would also include defined redemption rights and a conversion mechanism under which the preferred shares could be converted into new ordinary Voltalia shares in specified circumstances.

Pending shareholder approval

The transaction is subject to approval at Voltalia’s General Meeting scheduled for September 17, 2026, as well as final approval from the IFC. If approved, the deal would strengthen the existing partnership between the two organisations while providing Voltalia with additional capital for its renewable energy pipeline.

Voltalia currently has 3.6 GW of renewable energy capacity in operation and under construction, while its development pipeline stands at 12 GW across wind, solar, hydro, biomass and energy storage.

The proposed IFC investment would therefore give Voltalia additional financial capacity to advance its solar and BESS projects while continuing to expand its broader renewable energy portfolio. 

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EDITED BY : NILANJANA BANERJEE 2MINS READ

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