Aligned Climate Capital's solar and storage fund eyes $500M in first close
What's the deal? Aligned Climate CapitalDealroom has a profile for this one. Try Dealroom → held the first close of Aligned Solar Partners 7Dealroom has a profile for this one. Try Dealroom → (ASP7), a fund targeting $500 million to acquire and build middle-market distributed solar and energy storage projects across the US. The close drew commitments from existing investors, including the Bush Foundation.
How it works: ASP7 buys construction-ready projects sourced from development partners, finances their build-out, and manages the assets through operations. It builds on the strategy Aligned has run since 2018 across six prior funds.
The track record: As of June 30, 2026, Aligned had acquired 56 projects across 10 states through its ASP funds, generating more than 218 GWh of clean energy. Recent deals include construction financing for two Delaware community solar projects and the acquisition of an Illinois community solar project.
Why now? US electricity demand is rising for the first time in decades, driven by data center expansion, industrial reshoring, and transportation electrification. New natural gas capacity faces multi-year turbine delivery timelines, while solar and storage can be financed, permitted, and built faster.
What's the endgame? "Distributed solar and energy storage are now among the fastest ways to add reliable capacity to the grid, and the middle market is where much of that build-out actually happens," said Peter Davidson, chief executive officer of Aligned. The firm has identified more than 500 MW of potential projects for ASP7 as fundraising continues.
The Bush Foundation framed its commitment around impact. "We believe investment capital can support meaningful climate solutions while advancing our long-term investment objectives," said Brendon Reay, managing director of investments at the foundation.
The signal: Solar and storage now account for the majority of new power capacity being built in the US. With demand climbing and gas capacity constrained, funds like ASP7 are betting that the middle market — where specialised financing is scarce — is where the buildout gets done.
Read more: AP News
Image credit: Evelyn Simak
