• Solar Power

  • Biomass

  • Wind Power

  • Network

  • Electricity

Investment solutions for growth opportunities.We make investments throughout the globeto better save the planet and to develop more efficient social infrastructure.

About

The future in mind.We make sure we include the enviromental impact in the equation.

Strengths & Advantages

  • Focus

    Wide range of businesses, focus on renewable energy and infrastructure.
    • For renewable energy, we invest on the development and operation of power plants that emit less greenhouse gases (e.g. solar, wind, geothermal, biomass and hydro) as well as the value chain.

    • Core infrastructure (e.g. power/water networks, airports, communication, ports and transportation) and its peripheral assets, such as satellite communication technology, are our investment targets for infrastructure.

  • Performances

    With a flexible investment style, we are steadily accumulating investment balances.
    • Since 2018, the total investment amount has exceeded 1 billion USD.

    • The Japanese and European market being our priority, we also have interests in other markets where renewable energy and infrastructure sectors are expected to grow.

    • Given our capital are principally provided from Daiwa Securities Group, the span of investments can be flexibly adjusted according to the asset's characteristics.

  • Team

    Team members combine their knowledge and experiences to decide and act fast.
    • Investments and post-investment asset managements are carried out by 8 experienced and insightful senior management members, as well as 40+ investment professionals with various backgrounds and experiences.

    • With Daiwa Securities Group, a TSE first section listed company, as a backbone, we are able to make agile decisions and actions.

InvestmentStrategies

Building relationships.We value partnerships that are essentialto seizing and expanding investment opportunities.

Key Initiatives

  • Alliances

    Making a difference in various fields through capital alliances with the leading companies.

    From brownfields to greenfields, conservation of the environment to local economy — we aim to go beyond our role as a mere funder. With a global perspective, we fund investment opportunities to serve as a bridge between Japan and the world.

    Cases

    • Green Thermal Co., Ltd.

    • Aquila Capital Holding GmbH

    Business and capital alliance with Green Thermal Co., Ltd.
    From development to operation of a wood biomass power generation business

    Consistent efforts to create new values

    We are actively investing in the renewable energy fields to conserve forest resources and to revitalize local economies.
    For example, by using left-over timber as biomass fuel, we contribute to reduction of greenhouse gas emissions, effective use of forest resources and conservation of the environment. Through our activities, we also aim to revitalize local forestry industry and create employment
    To achieve maximum effect, we believe that it is vital to take part in the entire process of the power plant projects, from greenfield development phases to brownfield operating phases.

    Development and operation of wood biomass power plants

    The following power plants have already come into commercial operation through joint development with GT.

    • DS Green Yonezawa Minami Power Plant
      Capacity: 6,250kW
      Started: 2018

    • DS Green Wakayama Power Plant
      Capacity: 6,800kWh
      Started: 2020

    Europe is ahead of us in the renewable energy fields

    In Europe, the shift to renewable energy is significantly underway. Various finance programs are available and back this move. We believe that this is a great advantage, thus considering Europe to be an important investment target area.

    Business and capital alliance with Aquila Capital Holding GmbH

    Aquila Capital Holding GmbH (Aquila Capital) is an investment management firm that mainly targets renewable energy projects. While managing finances, it also assigns 300+ employees to local offices to develop and operate physical assets, making comprehensive and elaborate operation rooted in the local areas their strength. Partnership with Aquila Capital will accelerate our business expansion in European markets. We also aim to introduce the latest financial know-how from Aquila Capital to regions outside Europe, including Japan.

  • Co-Investments

    In collaboration with co-investors, we take proactive approaches to large-scale investments that support reliable infrastructure.

    Together with our co-investors, we support the maintenance of the infrastructure of our society. The collaboration extends to business operation to fund equipment renewals and business expansions.

    Cases

    • Electricity North West

    • Pentacom Investments

    Increasing private funds in the British electric power businesses

    In the UK, electric power companies are divided into several business fields. Some businesses prioritize stability by widely collecting capital based on regulations, and others pursue optimal efficiency by introducing competition. This entire system achieves inexpensive yet stable electric power supply.
    Electricity North West (ENW) is a power distribution company that operates in a large area around Manchester, the second largest city in the UK. It distributes electricity transmitted from power generation facilities to individual homes. A stable and efficient power supply is achieved through their real-time monitoring system of the entire area.

    Our relationship with co-investors contribute to the development of ENW

    ENW's geographically large business scope, facility-based business model and social responsibility require a massive amount of capital for stable business operations. We co-invested in ENW together with Kansai Electric Power Co., Inc., Mitsubishi UFJ Lease & Finance and British investment firms such as Equitix. Every firm involved shares basic principles as co-investors to build trust towards each other. Based on these relationships, financial support, know-how and insights to regulatory business are provided to support further growth of ENW.

    Optical fiber cables support the ever-expanding communication network

    Communication via the internet using smartphones and personal computers is a vital infrastructure of the society today. Fiber-optic communication networks support the amount and speed of data transfer that is increasing day by day.
    Pentacom Investments (Pentacom) possesses a network of optical fiber cables in Spain, providing services to major communication companies, bringing stable, fast and affordable internet connections to homes and offices.

    Supporting Pentacom's business expansion with co-investors

    Pentacom's fiber-optic networks must provide stable, high-quality connectivity at competitive prices. Continuous funding and strategic business expansion are necessary to maintain and develop these networks.
    We co-invested in Pentacom with Aberdeen Standard Investment, an asset management company, and Macquarie, a firm with extensive investment experiences in the infrastructure fields. From funding to strategic support, we cooperatively contribute to the growth of Pentacom with co-investors.

  • Finance Solutions

    Finance solutions for renewable energy is delivered through fusion of accumulated know-how and relationships with partners.

    Daiwa Securities Group’s know-how in the capital market is combined with funds from our partner financial institutions and our solar power plant operation experiences to support financing that leads to a brighter future.

    Cases

    • Hokkaido Mega Solar

    • Shinsei Bank

    Different financing approach that supports the expansion of renewable energy

    The use of solar power to generate renewable energy has become popular, and various finances are introduced to support this change. "Local production, local consumption" of energy and finance is the concept behind Hokkaido Mega Solar private placement fund. To fund two solar power plants in Hokkaido (Iwamizawa and Kushiro), Hokkaido Electric Power Co., Inc. has been involved to support operation and funding, and North Pacific Bank, Ltd. has provided funds through green loans.

    Unique collaboration that contributes to the community

    Hokkaido Electric Power Co., Inc., North Pacific Bank, Ltd. and we believe that this project contributes to the achievement of SDGs. We will keep looking into ways to carry out similar efforts that will contribute to various regions.

    Accelerating eco-friendly power generation businesses through mezzanine financing

    Combining Shinsei bank’s expertise in project finance and our know-how in renewable energy investment, we aim to provide choices other than the conventional senior loans or equities to finance renewable energy businesses.

    Covering funding needs from large-scale projects

    The scale of finance for renewable energy projects such as wind power tends to become quite large. Mezzanine financing can add reliability and flexibility to financing larger-scaled projects and is also expected to make equity financing easier and improve capital efficiency. We believe that this is another effective support for environmentally friendly power generation businesses.