Global investment firm KKR has announced a strategic partnership with HMC Capital, committing up to AU$603 million (US$423 million) to HMC’s Energy Transition Platform as Australia accelerates its renewable energy deployment and grid modernisation efforts.
The investment introduces KKR as a strategic partner alongside ASX-listed HMC in the Energy Transition Platform’s existing 652MW operational assets, its 5.7GW battery energy storage system (BESS) and wind development pipeline.
The partnership positions both companies to capitalise on Australia’s growing energy storage requirements as the country transitions away from coal-fired generation toward renewable energy sources.
KKR’s investment will support the Platform’s continued expansion, including the development of new battery storage and wind projects critical to grid reliability during Australia’s energy transition.
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The transaction establishes a foundation for HMC and KKR to scale the existing Platform and identify growth opportunities alongside its management team.
HMC Capital managing director and CEO David Di Pilla emphasised the partnership’s strategic value.
“KKR’s investment validates the quality of the Platform we have built and sets the foundation for HMC to play a major role in Australia’s transition to net zero carbon by 2050. KKR’s capital will enable the Platform to materially grow operating capacity, cash flow and progress the strategically valuable development pipeline,” Pilla said.
HMC Capital operates as an ASX-listed diversified alternative asset manager focused on investment opportunities across real estate, private equity, energy transition, digital infrastructure, and private credit.
The company manages approximately AU$19 billion on behalf of institutional, high-net-worth, and retail investors, with over AU$1 billion in balance-sheet co-investments across its platforms.
Meanwhile, the partnership with HMC represents KKR’s second climate investment in Australia, following its investment in CleanPeak, an Australian distributed energy platform, in July 2025.
KKR partner and head of KKR’s climate transition strategy for Asia, Neil Arora, highlighted Australia’s energy system transformation.
“As renewable energy generation in Australia continues to expand, the country’s energy system is at a pivotal moment. Delivering Australia’s ambition will require investment in flexible infrastructure such as battery storage to keep the grid secure and reliable,” Arora noted.
HMC Capital has established itself as a major player in Australia’s energy storage sector through strategic acquisitions and investments.
The company completed a AU$950 million acquisition of Neoen’s Victoria portfolio, which included the 450MWh Victorian Big Battery and 224MW Bulgana Green Power Hub.
HMC has also invested in Australian-based BESS developer Stor Energy with plans for 15GW of renewable energy projects.
KKR is funding this investment from its Global Climate Transition strategy, having committed more than US$44 billion to climate and environmental sustainability investments since 2010.
The firm’s climate investment portfolio includes Zenobē, a UK-based transport electrification and battery storage solutions specialist; EGC, an energy service provider in Germany; Dawsongroup, an independent asset leasing business; Avantus, a solar and solar-plus-storage developer in the US; and IGNIS P2X, an industrial decarbonisation platform in Spain.
Zenobē operates one of the UK’s largest EV charging networks and provides battery energy storage systems for grid services. Readers of Energy-Storage.news will likely recognise Zenobē as the developer behind several large-scale BESS projects in the UK, including the 200MW/400MWh Blackhillock battery site in Scotland, which started construction last year.
The firm also has a second large-scale BESS project in Scotland, the 300MW/600MWh Kilmarnock South BESS, which went live in January 2026. Both projects in Scotland are grid-forming assets that provide system stability services, including inertia and short-circuit level, through contracts with the UK National Energy System Operator (NESO). Last week, Zenobē announced its entry into the German BESS market.
The KKR-HMC transaction is expected to close in mid-2026, subject to customary regulatory approvals.
The Energy Storage Summit Australia 2026 will be returning to Sydney on 18-19 March. It features keynote speeches and panel discussions on topics such as the Capacity Investment Scheme, long-duration energy storage, and BESS revenue streams. ESN Premium subscribers receive an exclusive discount on ticket prices.
To secure your tickets and learn more about the event, please visit the official website.
