Eco- and Agri-Solar

Press release, Miami and Berlin, November 7, 2024 – I Squared Capital, a leading independent global infrastructure investment manager, announced today that its renewables platform Cube Green Energy has signed an agreement to acquire control of SUNfarming, a leading German photovoltaic (PV) developer and independent power producer with a focus on solar projects on agricultural land, known as “Agri-PV”. By joining forces with the founders of SUNfarming, Cube Green Energy will have an early-mover advantage in Germany’s Agri-PV market, unlocking synergies and advancing the company’s commitment to innovative solutions for Germany’s energy transition goals.

Agri-PV is an important segment in the German energy market as the country seeks to transition towards a fully decarbonized power system while ensuring a more independent, affordable, and resilient domestic energy supply. Agri-PV will also help Germany meet its PV capacity target of 215 GW by 2030 while preserving agricultural production.

SUNfarming is a German family-owned renewables developer which has built more than 650 MW of PV projects across Europe and developed a pipeline of close to 2 GW of Agri-PV capacity. The company is a market leader in the high-growth Agri-PV segment in Germany with expertise across the PV value chain from planning and construction to operational asset management. SUNfarming’s founding families trace their roots to the German farming sector resulting in deep and trusted relationships with farmers and local municipalities.

Through the combination, I Squared and Cube Green Energy will support SUNfarming in planning, constructing, and operating its ambitious pipeline. I Squared is targeting to deploy over €500 million of capital expenditure into the execution of SUNfarming’s Agri-PV pipeline by 2028, which will also provide the company with access to I-Squared’s global equipment procurement strategy and scale. Since 2014, I Squared has committed $7 billion to wider energy transition initiatives.

Mohamed El Gazzar, Senior Partner at I Squared, said: “The expansion of renewable energies, and in particular solar energy, is an indispensable building block for achieving climate targets. As a German leader in Agri-PV, SUNfarming offers a win-win solution for climate and agriculture, which I Squared is delighted to support. We are excited to work with SUNfarming’s experienced management team to unlock the company’s full potential within the fast-growing renewable energy market in Germany.”

Raghuveer Kurada, CEO of Cube Green Energy, said: “Joining forces with SUNfarming presents Cube Green Energy with significant synergies in its existing onshore wind development business and neatly complements our strategy to implement innovate solutions for a future with 24/7 renewable energy. Cube Green Energy is delighted to have found a partner in SUNfarming that shares our values, and we look forward to working with such a highly successful and diversified renewables platform in Germany.”

Peter Schrum, founder of SUNfarming, said: “This transaction marks an exciting next stage for our company and brings us an important step closer to the crucial goal of driving the energy transition and creating a greener future. I Squared’s investment via Cube Green Energy gives further tailwind to SUNfarming’s dynamic development and underlines our strong position in the Agri-PV market. The deep market know-how as well as the financial strength of our new partner will help us to continue the success story of SUNfarming in the future. Our partners, customers, and employees will continue to receive services based on our core principles of reliability, sustainable growth, and responsibility.”
The parties have agreed to not disclose the financial details of the transaction, which is expected to close by Q1 2025. The transaction remains subject to obtaining customary regulatory clearances and conditions. SUNfarming founders and key management will retain a significant minority shareholding position and will otherwise continue their existing role in the company.

About I Squared
I Squared is a leading independent global infrastructure investor with over $40 billion in assets under management. We are known for the development of investment platforms in infrastructure projects where we start small and grow big. We use global insights and deep local intelligence to solve complex problems, foster smarter businesses, serve local communities, and invest in a more sustainable future to provide essential services to millions of people around the world. We are a team of over 280 people, headquartered in Miami with offices in Abu Dhabi, London, Munich, New Delhi, São Paulo, Singapore, Sydney and Taipei. We operate a diverse portfolio of 86 companies in more than 70 countries with over 66,000 employees in a variety of sectors including utilities, energy, digital infrastructure, transport, environmental infrastructure, and social infrastructure. You can find out more by visiting: www.isquaredcapital.com.

About SUNfarming
SUNfarming was founded in 2004 as a medium-sized family business by main shareholder Peter Schrum and his partner Martin Tauschke in Erkner near Berlin. The company employs around 120 employees in Germany and Poland and operates in all areas of photovoltaics with a focus on Agri-PV, Biodiversity PV, Floating PV, Rooftop PV, and Eco PV. With a track record of 650 MW PV developments and installations and more than 250 MW maintenance of operating PV plants, SUNfarming is established as one of the leading and long-lasting companies in the German and European solar market. You can find out more by visiting: www.sunfarming.de.

About Cube Green Energy
Cube Green Energy is a Berlin-based independent power producer and renewables developer focused on implementing innovative solutions to power the energy transition. A portfolio company of I Squared Capital, Cube Green Energy has a mission to accelerate Europe’s shift to a zero-carbon economy by upgrading and repowering existing onshore wind farms, developing new renewable energy farms and deploying state-of-the-art battery storage solutions to enable a 24/7 energy future. You can find out more by visiting: www.cubegreenenergy.com.

CONTACT DETAILS:
I Squared
Dominic McMullan/ Shelly Hagan
info@isquaredcapital.com

Brunswick Group
Alexa von Dryander
+49 (0)172 688 738
Tobias Niehaus
+49 (0)174 195 2439
ISquaredGER@brunswickgroup.com

SUNfarming GmbH
Lena Schrum
PR/Communikation
Mobile: +49 176 63647322
Mail: l.schrum@sunfarming.de

Disclaimers
No discussion with respect to specific companies should be considered a recommendation to purchase or sell any particular investment. The companies discussed do not represent all past investments. It should not be assumed that any of the investments discussed were or will be profitable, or that recommendations or decisions made in the future will be profitable. Past performance is not indicative of future results, and there can be no assurance that any investment will achieve similar returns.

This document does not constitute advice or a recommendation or offer to sell or a solicitation to deal in any security or financial product. It is provided for information purposes only. Investing involves risk, loss of principal is possible. Specific investments described herein do not represent all investment decisions made by ISQ. The reader should not assume that investment decisions identified and discussed were or will be profitable. Specific investment advice references provided herein are for illustrative purposes only and are not necessarily representative of investments that will be made in the future.

SUNfarming will be presenting its many years of experience and latest projects in the field of Agri-PV at the world's leading trade fair for professional animal husbandry and livestock management. Find out about our global commitment to connecting food & energy and how our solutions are making agriculture more sustainable.
As the leading innovation platform for the global livestock industry, EuroTier offers a comprehensive overview of the latest technologies, standards and solutions for the challenges of today and tomorrow.

For appointments during the trade fair, please contact Mrs Janine Breitenfeld:
📞 +49 (0)3362 8859 129
📧 j.breitenfeld(at)sunfarming.de

We look forward to your visit!

The forum brought together a variety of companies connected with Schleswig-Holstein Netz AG (SH-Netz) – from pure feeders to battery project developers to municipal representatives. However, the majority of attendees were feeders. The main goal of the forum was to facilitate mutual acquaintance, understand the current situation of SH-Netz, and work together on solutions. Additionally, SH-Netz's plans and roadmap for the coming years and decades were presented, including the future grid development in Schleswig-Holstein.

Some of the exciting information shared during the forum included SH-Netz's ambitious goals for 2024. SH-Netz plans to connect an additional 2000 MW. The three essential components of their target grid are:

1. Grid Coupling Points: Over 20 new 380/110 kV substations with a capacity of around 1 GW
2. 110 kV Overhead Lines: 950 km of new 110 kV overhead lines
3. 110 kV Substations: 100 new 110/20 kV substations

However, grid expansion also brings significant challenges, including long approval times of 2-4 years, skilled labor shortages, material delivery times of over 3 years, and land acquisition times of 1-3 years. Additionally, the planning basis is complex due to unpredictable feeder requests and load fluctuations. In addition to grid expansion, SH-Netz is significantly increasing the number of annual connections. Currently, 104,700 installations are connected to the grid, and a yearly increase of over 50,000 installations is forecasted for 2024-2026.

SUNfarming looks forward to working together with SH-Netz and other partners to successfully implement these ambitious plans and further advance the energy transition in Schleswig-Holstein.

SUNfarming Group's Managing Director Martin Tauschke and Project Developer Heiner Kamper presented the project. The SUNfarming Group combines agriculture and solar power production in this innovative project to promote efficient use of agricultural land and increase energy generation from renewable sources.
The presentation of SUNfarming's agricultural concept generated great interest among the politicians. The project enables the keeping of mother cows, sheep, and chickens, as well as the cultivation of various vegetables, fruits, and medicinal herbs under the solar modules. SUNfarming will conduct intensive research projects in cooperation with the Leibniz Centre for Agricultural Landscape Research (ZALF) e.V. from Müncheberg to determine the optimal uses for Agri-Solar systems.

Dr. Dietmar Woidke emphasized the importance of Agri-Solar projects for preserving agricultural land and increasing societal acceptance for such innovations.

The government particularly supports the dual use of land for agricultural production combined with solar energy generation. Agri-Solar simultaneously secures food and energy supply for the population.

The event was aimed at 90 Master's students from the private university and their professors and teaching staff to familiarise them with the mission of SUNfarming Agri-Solar and to generate international project ideas and export orders.
This guest lecture informed the students about the potential of agrivoltaics in Germany and also looked at the modern solutions that SUNfarming offers in this area.The presentation provided a comprehensive overview of our company, and the numerous questions from students and professors were answered with pleasure.

The great interest shown by the students led to a lively discussion. We not only presented the current status of agrivoltaics, but also provided insights into the concepts we have developed and our experiences from research projects. In addition, we discussed opportunities for internships and student traineeships were discussed and suggestions for scientific collaborative projects.
SUNfarming plans to extend these successful guest lectures to other universities to attract even more students and institutions to the exciting world of agrivoltaics.

Many thanks to Professor Romero and Mr Chougule for the excellent organisation of the event. We appreciate the opportunity to work with SRH Berlin and look forward to future projects.

Protecting special crops such as fruit and wine from excessive sunlight, rain, hail, frost and bird damage while generating renewable energy and attractive rental income - find out more at our stand and visit our specially developed Agri-PV systems in Estebrügge.

Arrange a personal consultation appointment at our stand now:
landwirtschaft@sunfarming.de, phone +49 3362 8859200

The North German Fruit Growing Days are a renowned platform for the exchange of expertise and innovations in fruit growing.
The exhibition area covers 7,000 square metres of outdoor space and 6,000 square metres of tent space.

https://norddeutsche-obstbautage.de/