HMC Capital takes another step into the energy transition sector by announcing the acquisition of Neoen’s Victorian renewable energy portfolio for $950 million. The portfolio includes 652MW of operating capacity across wind, solar and battery energy storage systems (BESS) and a 2.8GW development pipeline featuring advanced stage projects.

This acquisition will be the seed of HMC’s first energy transition platform. The platform aims to raise $2 billion from investors and aims to complete this first funding phase in the first half of 2025.

HMC Capital is an Australian investment and asset management company. Its market capitalization is approximately $5 billion. The company has recently attracted attention for its strong revenue growth and plans to launch a “global digital infrastructure platform” including DigiCo REIT, which is expected to be Australia’s largest IPO from 2021 onwards. Underpinning this platform is a large data center acquisition.

Neoen is a renewable energy company headquartered in France with projects in Europe, Australia, the Americas and Africa.

The renewable energy acquisition is expected to close in July 2025 and will be financed by $550 million in senior debt and deferred repayments of $750 million at closing and $200 million in December 2025. It is planned that HMC expects the transaction to be accretive to earnings by fiscal year 2026.

Managing Director David Di Pilla said the acquisition was a significant opportunity to support Australia’s decarbonization goals, and Energy Transition Chair Julia Gillard AC said the acquisition was an important opportunity to support Australia’s decarbonization goals, while Energy Transition Chair Julia Gillard AC said He emphasized the importance of acquisitions in achieving this goal.

The acquisition will increase HMC’s assets under management to approximately $19 billion, with the company on track to exceed its $20 billion goal by fiscal 2025.

The stock is trading 0.74% higher at $12.28. Year-to-date, it is up 100.49%.