CMS has advised AXA Investment Managers Alts (AXA IM) on its acquisition of a 50 per cent stake in Coalburn 1, a 500MW battery energy storage system (BESS) from Copenhagen Infrastructure Partners (CIP). The transaction is expected to complete in early 2026.
AXA IM is a global investment management firm, operating as the investment arm for global insurance and reinsurance company AXA. This transaction aligns with AXA IM’s strategy to invest in transformative infrastructure that accelerates the low carbon transition.
Located in Scotland, the project will play a crucial role in the UK’s transition to renewable energy generation, by alleviating grid constraints and reducing costly curtailments to further optimise the efficiency of renewable energy output. Once commissioned, Coalburn 1 will be the largest project of its kind in Europe.
CMS Corporate Partner Kristy Duane comments: “We are delighted to have played a pivotal role in AXA IM's entry into the UK energy storage sector. This investment not only underscores AXA IM's commitment to sustainable infrastructure but also highlights the growing importance of battery energy storage in achieving a resilient and low carbon energy system. We look forward to seeing the positive impact of this project and continuing our collaboration with AXA IM on future initiatives.”
The CMS team was led by Kristy Duane and Brynn Horner, with support from Max Weaver, James Day, Adam Fenby-Betts, Alex Moore, Anna Ghataure (Corporate); Jason Todd, Phil Reid, Harry Penfold (Tax); Munir Hassan, Philip Duffield, Freddie May, Toby Commander, Beren Shorman (EPC); Mark McMurray, Jason Cowan (Planning); Andrea McLellan and Nicholas Shannon (Real Estate).
CMS has a proven track record in advising on significant BESS projects, providing expert advice on all aspects of BESS transactions, including project financing, development agreements, and regulatory compliance. Notable recent projects include advising DIF Capital Partners DIF on the project financing of a 720MW co-located solar generation and BESS portfolio in the UK, Zenobe on the construction and revenue arrangements to support the debt financing of the 400MW Eccles BESS project and InfraRed on the sale of its investment in Statera Energy, which constructs and operates a portfolio (1GW in operation, 16GW in development) of large-scale BESS and flexible generation assets.
