- Investment Management Corp. of Ontario, a manager of pension funds in the Canadian province, bought U.K. - based power generator Green Frog Power Ltd. to capitalize on the growing market for renewable energy.
The pension fund said it would invest up to C 500 million to execute and buy the business and buy its pipeline of battery projects. Green Frog generates power stations that use batteries, which are key to the production of solar and wind-based electricity.
'Utility scale batteries are in some sense the missing link in transitioning energy distribution and generation markets, because the sun doesn't always shine and the wind won't always blow when you need power, said IMCO CEO Bert Clark in an interview. 'The only way to level this out is to introduce batteries.
The pension manager expects the business to grow according to global infrastructure head Tim Formuziewich across diverse geographies, depending on opportunities.
'Green Frog gives us access to a substantial growth platform and a flexible development pipeline in the early stages of a trillion-dollar sector, Formuziewich said.
IMCO was created less than five years ago to consolidate several public-sector funds under one manager. It's the first time that a company owns outright.
The government pension manager for government workers in the Canadian province manages C $73.3 billion in assets. It posted an overall gain of 5.4% for 2020.