AB CarVal announces final close of CVI Clean Energy Fund II

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Aug 02, 2023, 07:30 ET

The firm's second clean energy fund closed with $1.5 billion in capital commitments to the strategy

NASHVILLE, Tenn. and MINNEAPOLIS, Aug. 2, 2023 /PRNewswire/ -- AB CarVal, part of leading global investment management firm AllianceBernstein L.P. ("AB") (NYSE: AB), completed the final close of CVI Clean Energy Fund II (CEF II or the Fund) with $1.5 billion in total capital commitments to the energy transition strategy. The Fund focuses on credit and hard-asset investments in the clean energy sector, primarily in North America and Europe.

CEF II is a continuation of AB CarVal's platform for renewable energy private debt transactions. The Fund has received commitments from both new and existing limited partners, representing a cross-section of corporate pension funds, sovereign wealth funds, private banks, endowments, foundations, fund of funds, family offices and high net worth individuals.

"Rapid growth in renewable energy and a fragmented financing market present a compelling opportunity," said Jody Gunderson, managing principal with AB CarVal. "The global energy transition is extremely capital intensive, and private investment offers a direct route to participate in projects that are redefining the future of the energy markets and offer solid long-term return potential."

The United Nations estimates that $4 trillion* must be invested annually to reach net-zero emissions by 2050. Since 2017, AB CarVal has deployed over $4 billion in clean energy investments, including solar and storage hard assets, private financings, solar loans and solar asset-backed securities (ABS). The firm is focused on downside-protected investments in proven new technologies that help advance the energy transition.

AB CarVal's first Clean Energy Fund closed in 2021, with $490 million in total capital commitments. This is the firm's first fund closing since being acquired by AllianceBernstein in 2022.

About AB CarVal

AB CarVal is an established global alternative investment manager and part of AllianceBernstein's Private Alternatives business. Since 1987, AB CarVal's team has navigated through ever-changing credit market cycles, opportunistically investing $143 billion in 5,680 transactions across 82 countries. Today, AB CarVal has approximately $17 billion** in assets under management in corporate securities, loan portfolios, structured credit and hard assets. Since 2017, AB CarVal has deployed over $4 billion in clean energy investments. Additional information about AB CarVal may be found at www.abcarval.com.

About AllianceBernstein

AllianceBernstein is a leading global investment management firm that offers high-quality research and diversified investment services to institutional investors, individuals, and private wealth clients in major world markets. As of June 30, 2023, AllianceBernstein had $692 billion in assets under management. Additional information about AB may be found on our website, www.alliancebernstein.com.

*Source: IEA Flagship report, May 2021

**As of June 30, 2023. AUM is comprised fee-earning AUM and fee-eligible AUM. Fee-earning AUM includes those assets currently qualified to generate management fees. Fee-eligible AUM includes capital that is committed to an AB CarVal Fund but is currently uncalled or recallable. The number represented here excludes assets under AB CarVal's management that are not generating management fees due to the maturity of the Fund but includes amounts that do not generate management fees solely due to AB CarVal's decision not to charge management fees.

SOURCE AllianceBernstein