SolarKapital GmbH

Overview

SolarKapital GmbH is an owner-managed financial services provider that invests equity and expertise across the entire value chain of the solar sector. The firm focuses on supporting innovative enterprises in their pursuit of strong and sustainable growth, emphasizing a hands-on approach to foster development. SolarKapital seeks companies that not only address the questions of 'what?' and 'how?' but also have a clear answer to 'why do we do it?'. In addition to corporate investments, the firm acquires solar projects as an Independent Power Producer (IPP). The regional focus for corporate investments is on firms based in Germany, Switzerland, and Austria, while project investments currently target all European countries. The partner team's extensive experience in private equity, corporate and project finance, mid-cap business, and renewable energy positions SolarKapital as an ideal partner for investments in the solar sector. The firm's motivation is driven by the pleasure of being part of building leading, great, and unique companies, with mediocrity being not an option. SolarKapital strives for an attractive risk/return profile for its investors and aligns interests by investing its own capital alongside third-party funds. The firm offers investment opportunities with relatively low complexity and in tried and tested legal structures following German law. SolarKapital's business model capitalizes on the attractiveness of the solar market, which offers multiple value drivers for corporate investments, stable cash flows allowing substantial leverage of park investments, and limited correlation with other asset classes. The firm provides solar companies with equity capital up to an amount of EUR 5 million, focusing on the complete value chain, including solar machinery suppliers, wafer, cell, and module producers, inverter suppliers, mounting structure suppliers, EPC/turnkey suppliers, park operators, monitoring systems, and O&M service providers. SolarKapital advises entrepreneurs in all business aspects, such as strategy, corporate structure, sales, management, finance, internationalization, and M&A, without taking over day-to-day business but providing coaching support in a 'workshop culture'. The firm applies defensive investment criteria, targeting investments with an appropriate relationship between opportunities and risks, and transacts its investments in legally proven structures with low complexity, ensuring transparency and no sales commissions. Apart from a management fee, SolarKapital is only rewarded on a success basis ('carried interest').

Investment Focus

• Focus on solar sector
• Equity capital up to EUR 5 million
• Companies in Germany, Switzerland, Austria, and European countries
• Alignment of interests with investors
• Transparent investment structures

Portfolio Companies