Paladin Capital leads $1bn funding for Brazilian renewable energy projects

The capital will be used by the Brazilian company VREC to launch renewable energy projects, particularly in the areas of ethanol and electricity generation. VREC will also consider purchasing existing ethanol facilities and investment opportunities in ethanol infrastructure.

The company has already started building its first production unit in Sao Paulo with Grupos Farias, a sugarcane and ethanol producer with 10.5 million tons of installed crushing capacity.

Michael Steed, founder and managing partner of Paladin, said, 'Brazil is the world leader in the cost effective production of ethanol and it continues to be one of the most exciting frontiers for growth in the renewable fuels sector.'

Ricardo Roccia, CEO of VREC, added, 'As a result of over 20 months of detailed industry analysis and the review of numerous agricultural-industrial projects, we selected a portfolio of initial investments focused on ethanol production and associated energy generation capable of delivering the returns expected by our investors'.

Founded in 2001, Paladin invests in companies offering products, services and technologies that address homeland security needs, alternative energy sources and that enhance critical infrastructure worldwide.

Paladin has over $980m under management.

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