Pale Fire Capital Group announces an investment in strengthening the Czech Republic’s energy security and independence. This move is intended to help reduce the need for energy supplies from Russia.
The events of the last few days in connection with Russian aggression against Ukraine have pushed Pale Fire Capital to invest outside its usual area. The group hereby announces its intention to build 20 MW of solar capacity to help the Czech Republic reduce its energy dependence on Russian natural gas and oil supplies. The investment is expected to be approximately EUR 15 million, including bank financing.
“We have made this decision despite the fact that the investment does not meet our standard benchmarks for economic return, however, in the current situation we consider it necessary to lead by example and actively participate in increasing the energy security of our country,” said, partner at Pale Fire Capital, adding: “We firmly believe that this step will inspire other entrepreneurs in the Czech Republic to make similar investments not only in the field of photovoltaics but also, for example, in energy savings, insulation, alternative energy sources, etc.”
A secondary effect of this investment will be the full decarbonization of the electricity consumed by all thirty companies in Pale Fire Capital’s investment portfolio, as the expected amount of electricity generated will far exceed their total consumption.
The Group, therefore, invites solar developers to submit proposals for ready investment projects. In addition, it is open to equity participation in projects for which developers are seeking additional capital.