NZ’s Lodestone completes $50m capital raise

Gary Holden, managing director of Lodestone Energy.

Unlisted Lodestone Energy says it has raised another $50 million from existing shareholders and new investors to fund more solar farms.

This would add to the $50 million development fund it raised in 2024, the company said.

“These funds will enable Lodestone to maintain their momentum of building new, utility-scale solar generation to serve its customers,” the company said.

“This raise means we can continue to add to our fleet of solar farms and serve more customers who see significant value in Lodestone’s unique solar-backed contracting model,” managing director Gary Holden said.

The company has 10 projects in its sights, including a large solar farm in the Mackenzie District at Haldon Station.

Lodestone engaged international markets and existing shareholders in the capital raise.

The company said it was in a continuous process of developing solar sites as the demand from customers for lower-cost electricity builds.

The Government and regulators are calling for faster delivery of renewable energy to meet growing demand and to displace expensive gas and imported coal.

“With our fourth farm coming online in Whitianga, we are running at pace to satisfy the number of large electricity users who need low-cost, stable supply,” Holden said.

Holden said there was little doubt the industry-wide push for utility-scale solar and battery storage would ultimately reduce the cost of electricity.

Lodestone Energy - founded in 2019 - is the country’s first utility-scale solar generation company.

The company is majority New Zealand-owned through private equity partnerships including Jarden Principal Investments, Purpose Capital, Tauhara North No.2 Trust, ACC, K1W1 and Pathfinder.

Jamie Gray is an Auckland-based journalist, covering the financial markets and the primary sector. He joined the Herald in 2011.