ArcLight Infrastructure Partners (ArcLight) has announced the launch of SkyVest Renewables (SkyVest), an operating-focused renewables investment initiative, alongside the acquisition of a 160 MW operating wind farm. SkyVest, formed by ArcLight to operate and optimize acquired assets, builds upon ArcLight’s extensive experience in renewables since 2001 and brings together a seasoned team to deliver transformational management and operational best practices for ArcLight’s investments in wind and solar infrastructure.
ArcLight is committing an initial $500 million in capital to the initiative, coinciding with the acquisition of a 160 MW operating wind farm located in the Midland Basin in Texas, which began commercial operations in 2020. SkyVest will leverage its internal expertise and ArcLight’s resources to implement a value-enhancing operational and commercialization strategy.
ArcLight and SkyVest will target operating utility-scale wind and solar assets in North America. Through the implementation of operational, technical, commercial, financial, and redevelopment best practices, assets managed by SkyVest will have the potential to generate significant near-term cash flow while mitigating downside risk. SkyVest will also enhance ArcLight’s existing dedicated in-house operations resources in asset management, data analytics, and project risk management.
“ArcLight has a deep history of investing in renewables dating back to our first fund, focused on bringing operating excellence, innovation, power expertise, and brownfield development skills to drive value and mitigate risk,” said Dan Revers, Managing Partner of ArcLight. “SkyVest augments our existing in-house capabilities to implement these value-added levers. We see a growing opportunity to capitalize on this strategy with a continued disciplined and highly selective investment approach.”
SkyVest is led by a group of experienced and tenured executives, including President Michael Murphy, previously the SVP and CIO of Clearway Energy, and CFO Michael Current, previously the SVP of Finance of JERA Americas. The executive team is complemented by an accomplished team of senior advisors and board members, including Mark Albenze, former CEO Global Service at Siemens-Gamesa; Tom Kiernan, former CEO of American Clean Power/AWEA; and Scott Hall, former CEO of Great River Hydro.
“I am excited to partner with ArcLight, which I view as one of the leading domestic renewable infrastructure investors,” said Mr. Murphy. “ArcLight has a multi-decade history of making renewable infrastructure investments, driven by a value-added approach and operational resources that I believe are imperative to driving value and mitigating risk in the renewables market today.”
“As the renewables sector continues to grow and mature, the operational and commercial requirements are changing, which in turn creates the opportunity to apply a value-add skill set compared to the ‘growth-at-all-cost’ orientation of the past,” said Carter Ward, Partner at ArcLight. “Similar to ArcLight’s prior operating renewable investments – including Leeward, TerraGen, and Great River Hydro – we believe SkyVest has the resources required in today’s market to become one of the leading operators of wind and solar assets in the U.S.”
About ArcLight
Founded in 2001, ArcLight is a leading value-added, infrastructure investment firm with strategic partnerships and investments across the power, renewables, strategic gas, battery storage, and transformative infrastructure sectors. ArcLight has a long track record of investing across the electrification infrastructure asset value chain to help support reliability, security, and sustainable infrastructure. ArcLight’s team employs an operationally intensive investment approach that benefits from its dedicated in-house strategic, technical, operational, and commercial specialists, as well as the firm’s ~1,900-person asset management partner. Since 2001, ArcLight’s funds have invested in infrastructure and related businesses with nearly $70 billion of total capitalization. For more information, please visit www.arclight.com.
About SkyVest
SkyVest is a strategic management team formed and owned by ArcLight to manage and operate utility-scale renewable wind and solar infrastructure. SkyVest will focus on operating wind and solar assets that, through operational, technical, commercial, and brownfield development best practices and innovation, have the potential to generate near-term cash flow and mitigate risk. SkyVest also leverages ArcLight’s dedicated portfolio operations resources in asset management, data market analytics, and project risk management to help meet the growing need for renewable infrastructure, access to affordable power, reliability, and sustainability. For more information, visit www.skyvest.com.
