The partnership aims to build up to 10 GWh of renewable energy storage capacity over time as institutional capital increasingly flows into infrastructure projects that support the energy transition in Europe.

Under the agreement, the three parties will jointly create an investment platform focused on European battery energy storage systems. CATL $3750 (+3,12 %) will supply the battery technology under this agreement, while Schroders Greencoat $SDR (-0,86 %) and Lochpine will contribute their investment and infrastructure expertise.

The MoU was signed when Schroders Group Chief Executive Richard Oldfield visited Beijing as part of a UK business delegation led by Prime Minister Sir Keir Starmer to strengthen trade and investment links between the UK and China. The signing was witnessed by Lucy Rigby, the UK Secretary of State for Business at the Treasury.

Schroders Greencoat is part of Schroders Capital $INOVthe private markets arm of the Group, which manages US$111 billion of assets.

The infrastructure platform manages around 450 renewable assets globally with a net generation capacity of more than 7.7 GW.

"Accelerating the energy transition in Europe requires the deployment of significant amounts of capital," said Richard Nourse, chairman of infrastructure at Schroders Capital, in a statement. "We look forward to working with Lochpine to provide investors with innovative opportunities to expand access to and investment in battery energy storage and other infrastructure associated with the energy transition."