Prime Capital has raised €305m (£262m) across its sustainable infrastructure debt strategy, following the final close of one of its vehicles.

The Frankfurt-based asset manager has announced the final close of its Prime Sustainable Infrastructure Debt Fund (PSIDEF). The fund provides debt to small and medium-sized enterprise infrastructure developers and asset owners across Continental Europe and the Nordics.

Prime Capital said the fund was backed by eight institutional investors from Europe and East Asia, including the European Investment Fund. Other investors include insurance companies, pension funds, family offices and foundations.

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“We are very pleased to have successfully reached the final closing of PSIDEF, which marks an important milestone for our infrastructure debt platform,” said Andreas Kalusche, chief executive of Prime Capital.

“At the same time, we continue to raise capital for our asset-based strategies, which are designed to provide investors with differentiated sources of return and meaningful diversification across sectors, geographies and asset classes.”

The vehicle is an Article 9 fund under the Sustainable Finance Disclosure Regulation, with the manager stating that it seeks to support the decarbonisation of infrastructure and promote energy efficiency.

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Since inception, PSIDEF has financed around 70 assets across 10 transactions, including investments in battery energy storage systems, energy efficiency and social infrastructure, Prime Capital said.

The most recent transaction involved ElectroFleet, a German Energy-as-a-Service provider focused on providing decentralised energy solutions for large German offtakers.

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