LONDON (Reuters) – British money manager Schroders plc said on Tuesday it has reached an agreement to buy 75% of renewable investor Greencoat Capital Holdings Limited in a bid to grow its sustainable investment offering .

Schroders has agreed to pay 358 million pounds ($473.17 million) for the majority stake, it said in a statement, valuing Greencoat at around 477 million pounds.

Greencoat is one of Europe’s largest renewable infrastructure managers with 6.7 billion pounds of assets under management as of 30 November 2021, according to Schroders.

It focuses on renewable energy infrastructure investing including wind, solar, bioenergy and heat and operates nearly 200 power generation assets across the UK, Europe and the United States with an aggregate net generation capacity of over 3 gigawatts.

Greencoat will become part of Schroders’ private markets division — Schroders Capital — and will be known as Schroders Greencoat.

It will help meet institutional client demand for environmentally-positive products in order to meet their own sustainability commitments, Schroders said.

($1 = 0.7566 pounds)

(Reporting by Abhinav Ramnarayan; Editing by Rachel Armstrong)