Macquarie Asset Management completes acquisition of Island Green Power

Macquarie Asset Management has completed the acquisition of Island Green Power, a UK-based renewable energy developer, by purchasing an additional 50% stake.

This move solidifies Macquarie’s position in the renewable energy sector, bringing its total ownership to 100%.

Island Green Power, established in 2013, has developed over 3GW of solar projects to a ready-to-build status.

The acquisition comes at a strategic time as the UK government is committed to decarbonising its electricity system by 2030.

Island Green Power is poised to support this initiative, with a pipeline exceeding 15GW of utility-scale solar and BESS projects in the UK.

Macquarie Asset Management Green Investments managing director Eric Bjonerud said: “We are excited to increase our stake in Island Green Power, a leading UK solar developer. We’d like to thank our departing co-shareholders who have supported the business this far.

“We have witnessed firsthand Island Green Power’s strong development capabilities, growing and advancing its UK pipeline to date – this will serve as a solid foundation for building a significant operating base over the coming years as it transitions into becoming an Independent Power Producer. We believe IGP is well positioned to support the UK achieving its decarbonisation targets.”

The company’s recent achievements include receiving planning consent for two of the UK’s largest solar farms, which will play a crucial role in meeting the nation’s clean energy targets.

Despite the founders of Island Green Power retaining ownership of the international business, the UK operations will transition towards becoming an independent power producer (IPP).

This shift will involve a focus on building and operating assets, aligning with the UK’s Clean Power 2030 Action Plan, which aims to add 45-47GW of solar power by 2030.

Island Green Power founder Ian Lawrie said: “We’re incredibly proud of what the Island Green Power team has achieved in building one of the UK’s leading renewable energy platforms. It’s been a privilege to work alongside such talented, committed individuals. As the business enters its next phase with Macquarie, I have every confidence in the team’s continued success and wish them all the very best for the future.”

In contrast, Macquarie has recently suspended the sale of Corio Generation.

The offshore wind power developer, with a 25GW project pipeline, faced market challenges and a lack of interest.

Macquarie had engaged advisers in 2024 to find a buyer for Corio Generation, which operates across Europe, Asia-Pacific, and the Americas.

However, the company is now considering downsizing its projects, a move indicative of the current complexities in the offshore wind sector.