The Canada Pension Plan Investment Board is joining a funding round for an energy network service provider.
The investment organization is investing about US$200 million in Redaptive Inc., a company that installs energy-saving and energy-generating equipment at client businesses. The company funds the upfront costs of its installations to help customers to overcome financial and logistical barriers.
According to a press release, the CPPIB believes the company is well-positioned to grow its share of the energy-as-a-service sector, which is expected to grow from US$4.8 billion in 2022 to US$38.5 billion by 2030, according to research from Guidehouse Inc.
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“This investment is consistent with our focus on investing in best-in-class companies that are supporting the global energy transition by innovating in energy efficiency, sustainable energy and the deployment of data solutions,” said Bruce Hogg, managing director and head of sustainable energies at the CPPIB, in the release.
In other news, the British Columbia Investment Management Corp. is providing the equivalent of US$1 billion in equity contributions to a private equity investment firm acquiring an aerospace business.
Advent International Corp. is seeking to buy all outstanding shares in Maxar Technologies Inc., a satellite manufacturer and space-based high-resolution imagery provider, for $6.4 billion. Under the terms of the agreement, its shareholders will receive $53 in cash for each share of common stock.
In total, Advent’s received combined equity contributions and debt financing commitments of $3.1 billion to help finance the acquisition. The transaction, which has been approved by Maxar’s board, is expected to close in 2023 and is subject to customary closing conditions, including a vote of approval by existing shareholders.
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