Two senior dealmakers from Shell's energy transition team have joined Alantra Partners to lead the Madrid-based firm's new secondaries business targeting global energy infrastructure assets. The move marks Alantra's formal entry into the LP-driven secondaries market for energy transition funds, a segment that has seen secondary volume grow 42% year-over-year through Q3 2024 according to Evercore data.
The executives, whose combined tenure at Shell spans energy M&A and infrastructure project finance, will build Alantra's secondaries capability from scratch. Alantra manages approximately €6.2 billion across private equity and credit strategies, with energy and infrastructure accounting for roughly 30% of assets under management. The firm has advised on 17 energy transition deals since 2021, predominantly in European renewables and battery storage.
The timing reflects structural pressure in energy transition fundraising. First-generation climate funds raised between 2019 and 2021 are entering their liquidity windows while newer vintages face extended hold periods due to higher interest rates and delayed project cashflows. Limited partners seeking liquidity have driven secondary pricing in energy infrastructure to an average 87 cents on NAV in recent quarters, down from 94 cents in 2022 but still above the broader private equity secondary market at 83 cents. Shell itself has been restructuring its energy transition investments, writing down $2.1 billion in renewable and hydrogen assets over the past eighteen months while refocusing capital on integrated power and biofuels with clearer near-term returns.
Alantra's entry competes directly with established secondaries platforms at Evercore, Lazard, and Jefferies, all of which have dedicated energy transition desks. The differentiation will likely center on Alantra's European origination network and existing relationships with mid-market renewable developers. The firm has historically operated in the €50 million to €400 million enterprise value range, positioning it below the bulge-bracket secondaries market but above regional boutiques. For allocators, this hire signals two things: continued fragmentation in the energy transition advisory landscape, and growing LP demand for liquidity solutions in a sector where fund life extensions are becoming standard.
Operators should watch Alantra's first mandates, expected before year-end 2025, to gauge pricing discipline and whether the platform targets fund stakes or direct asset portfolios. Shell's willingness to lose dealmakers to a secondaries platform suggests the major is moving away from advisory-style origination in favor of direct investment or joint ventures. European family offices with exposure to 2019-2021 vintage climate funds should monitor secondary bid activity in Q1 2025 as tax-year pressures and portfolio rebalancing converge.
The secondaries market for energy transition assets now exceeds $8.3 billion in annual transaction volume, triple the figure from 2020, and Alantra's platform launch confirms this is no longer a niche within alternatives.