Macquarie-led consortium completes GIB acquisition

Further to the announcement of 20 April 2017, a Macquarie-led consortium comprising Macquarie Group Limited (Macquarie), Macquarie European Infrastructure Fund 5 (MEIF5) and Universities Superannuation Scheme (USS) has successfully completed the acquisition of the UK Green Investment Bank Limited (GIB) from the Government of UK for £2.3 billion (US$2.95 billion).

Macquarie will be the owner of the Green Investment Bank with ‘special share’ arrangements to safeguard its green purpose which will be held by five independent trustees.  Macquarie will adopt the Green Investment Bank as its primary vehicle for principal investment in green projects in the UK and Europe and will consolidate its own existing UK and European principal investment business into that vehicle.

Macquarie has committed to the Green Investment Bank’s target of leading £3 billion of investment in green energy projects over the next three years, operating in accordance with its established green purpose.

Daniel Wong, Head of Macquarie Capital Europe, said: "Combined with Macquarie’s resources as the world’s largest infrastructure investor, the Green Investment Group will be uniquely placed to continue in its pioneering role in the world's transition to a low-carbon economy. We look forward to growing the Green Investment Group’s capacity and its contribution to the UK and global renewables markets."

Lord Smith of Kelvin, Chair of the Green Investment Bank up to the completion of the transaction, said:

"Today marks the beginning of an exciting new chapter for the Green Investment Bank. Under Macquarie ownership, the business will have the support it needs to deliver a growing green impact, at home in the UK and now abroad."

"I'm confident that with this support the Green Investment Bank, nurtured so well through its early years by the UK Government, will go on to bigger and better things.

"If the Paris Agreement is to be delivered we need to see mature green infrastructure delivered quickly and at scale, alongside the rapid development of emerging technologies. To achieve this the world needs committed, innovative, specialist, experienced investors with access to deep and flexible pools of capital. The Green Investment Group will now have the platform to meet that market need and fulfil its full potential."

Edward Northam, Head of the Green Investment Group, said:

"This new chapter provides the best of both worlds: a deep sector specialism coupled with access to a global platform and deep pools of capital. We have ambitious plans for the growth of the Green Investment Group, starting with a continuation of our role as a leading investor in the UK and building on that through an additional international focus."