Madrid-based Soto Solar raises over €100 million to build 2 GW of solar capacity in Spain

Madrid-based Soto Solar develops and invests in subsidy-free, large-scale, ground-mounted solar PV projects. It has now raised €100 million from a group of international private wealth investors in exchange for 50% of the company’s shares.

The company will use the investment to expand its team and to start realising its ambition for the next five years: a total installed photovoltaic solar energy capacity of two gigawatts.

Soto Solar was founded by the Dutch companies Stecc and Hartenlust Group, and began operating in late 2018. It has since built a portfolio of photovoltaic solar energy projects in excess of 500 megawatts through a series of local partnerships in Spain, and is also exploring related projects in energy storage.

“Solar energy is key to the European energy transition,”said Bas Dekker, co-founder of Soto Solar. “Developing high quality, large-scale renewable energy generation capacity is fundamental to achieving this goal. The European market for renewable assets will gradually transform into an institutional asset class, and the Spanish market offers attractive subsidy-free opportunities for professional parties with a long-term horizon.

“Soto Solar has the benefit of a strong and professional track record in solar PV development and investment which, coupled with the long-term outlook for Spanish renewables, underpins our rationale for providing capital and support,” said Xeno Grimmelt, Partner at Hartenlust. “In addition, limited visibility and increasing volatility are affecting assets classes like real estate, equities and bonds that family offices traditionally invest in. Renewable energy assets offer a positive long-term outlook on the right side of the future energy industry.”