Our Mission
More Than Finance
As fears of climate change and its impact continues to escalate, governments around the world are advocating for environment projects to combat the climate crisis and to generate stable green jobs. As the world population continues to grow exponentially, waste refuse disposal continues to be a core issue for countries and the UK and European leaderships have pivoted their focus towards environmentalising their economies. Stimulated by government incentivised schemes, demand for new renewable energy schemes is ever-increasing.
However, as the demand for renewable energy in the UK and Europe continues to grow, supply into the market is confined by the current capital structures provided by finance providers.
Today, large institutional capital does not have the bandwidth to undertake the development risk or construction risk associated with smaller sized renewable energy projects. Basically, they only have the capacity to take on funding for projects of £50 million upwards. And smaller lenders have financial constraints on their existing balance sheets, which exacerbates supply of funding for projects.
As this disparity between demand and supply for renewable energy projects continues to widen, valuation for operating plants or sites with planning for a renewable energy project continues to rise as institutional investors seek to obtain and refinance operating renewable projects. Public-sector capital deployment is only seeking to solve the larger problem of economising renewable energy.
Pension funds, insurance capital and sovereign wealth deployments are pursuing investments into perspicuous technologies, such as solar and wind operations. As these core funds continue to deploy capital towards larger-and-larger renewable energy projects employing only solar and wind, the funding gap continues to widen for high quality SME renewable producers which are under the £20-million mark.
While the property market benefits from 25 peer-to-peer lenders in the UK, the UK currently has three active peer-to-peer renewable lenders; and these three operate as placement agents rather than lending themselves.
In response to these clear gaps in the finance market, Mountview Private Finance plans to fund the development and construction of renewable energy projects. We are committed to funding technology projects which protect the planet from climate change and preserve the earth’s environment and biodiversity.
The renewables market provides the opportunity to invest in a market which is countercyclical, weakly correlated to property and conserves capital, while still providing high yielding assets. Through diversifying funding through a variety of clientele and technologies, we benefit from the significant upsides from debt and equity while emphasising the protection and preservation of capital and return of interest.