Renewable Ventures’ new fund to give US solar $200M jolt

Renewable Ventures, the recently-acquired venture arm of Spanish solar developer Fotowatio, announced today that it has raised upwards of $200 million dollars for a new fund dedicated to advancing solar projects in the U.S. The money will go toward building at least 35 megawatts-worth of solar facilities, the San Francisco-based firm says.

Fotowatio already has a major presence in the U.S. — despite its European roots — with 130 megawatts-worth of projects already operational and 1,000 more megawatts-worth in the works between the U.S., Spain and Italy. Not to say that the company represents a European invasion; after all, GE Energy Financial Services is one of its major stakeholders.

Renewable Ventures’ strategy for growing its American footprint rests on the acquisition of solar developments slated to produce between one and 10 megawatts of power. These projects will range between commercial, public and utility-scale facilities. For example, the fund’s first order of business will be to back a 2-megawatt photovoltaic array based in Fort Collins, Colo. charged with producing and selling electricity to Colorado State University.

The fund is already contributing to the construction of another array at Denver International Airport and another at Nellis Air Force Base. It brought these projects into the fold when Fotowatio bought and rebranded MMA Renewable Ventures (formerly owned by MuniMae) to become simply Renewable Ventures in January. The new $200 million fund, which technically would be MMA’s fifth, is Fotowatio’s first fund raised in the U.S. Ironically, MuniMae sold off the firm because it said it had become too difficult to raise substantial capital.

The fund will likely benefit from generous government incentives and a broad public clientele because its fund is a combination of debt and equity provided by Wells Fargo, among others. The firm expects its projects to be particularly attractive to customers in the public sector like utilities, universities and municipalities.

At the end of last month, VentureBeat reported that Renewable Ventures was close to closing a fund that would allow it to shell out $100 million over the next year and $500 million over the next two. It looks like the first goal might now be a reality, while the second remains a bit of a stretch.