A significant step for the solar energy sector: the SNEL11 real estate investment fund reaches R$1 billion in fundraising to expand its portfolio of distributed generation plants.
The renewable energy market in Brazil has received a new boost with the successful fifth issuance of shares from the Suno Energias Limpas (SNEL11) fund, managed by Suno Asset. The fundraising surpassed the R$1 billion mark, a significant milestone that highlights investor confidence in the potential of solar distributed generation (DG). The capital raised will be strategically allocated toward the acquisition of operational photovoltaic plants, focusing on projects with signed contracts and a proven track record of power generation.
This robust capital injection brings the SNEL11 net asset value to nearly R$2 billion, doubling the value prior to the offering. Combined with remaining funds from previous rounds, the total amount will allow the fund to add up to 250 MWp of installed capacity to its portfolio. Currently, SNEL11 manages approximately 150 MWp, and with the planned acquisitions, its total capacity could reach approximately 400 MWp, cementing its position as a major player in the sector.
Strategy focused on operational assets drives the market
Suno Asset‘s decision to prioritize the acquisition of existing plants rather than building new projects reflects a strategic analysis of the current distributed generation market landscape. In a context of high interest rates and increased debt costs, purchasing operational assets is more advantageous than developing new projects, which require significant time, capital, and involve execution risks.
Vitor Lopes Duarte, Chief Investment Officer at Suno Asset, emphasizes that this strategy allows for faster expansion of the fund:
We are on the path to becoming one of the largest clean energy players in Brazil. With a robust capital position and a return discipline consolidated over five issuances, SNEL11 has the momentum to accelerate acquisitions precisely at a time when the distributed generation market most needs consolidation.
The manager notes that the market remains fragmented, with many small and medium-sized plants, and limited access to credit could open windows of opportunity for acquisitions at more attractive prices.
The distributed generation market in Brazil has shown significant growth, surpassing the 50 GW mark of installed capacity, according to ANEEL data. The fragmentation of assets, combined with financing challenges, creates a favorable environment for sector consolidation, with well-capitalized funds and companies like SNEL11 taking a leading role. With over 125,000 shareholders, SNEL11, founded in December 2022, continues to pursue acquisition opportunities, prioritizing assets with long-term contracts and predictable revenue, which are essential for the fund’s profitability and sustainability.
