The European Bank for Reconstruction and Development has acquired a 1.5 per cent stake in Estonian company Enefit Green, underpinning the first share offering by a pure-play renewable energy company in the Baltic States. The EBRD’s investment of EUR 11.8 million corresponds to 6.7% of company’s EUR 175 million initial public offerings. The shares will be listed on the Tallinn Stock Exchange and included in the NASDAQ Baltics Main List.Enefit Green is a renewable energy company with a portfolio of wind and solar plants, combined heat and power plants, a pellet plant and a hydroelectric power plant across Estonia, Latvia, Lithuania and Poland.Following the IPO, Enefit Green will remain majority owned by Estonia’s state-owned energy utility company, Eesti Energia. Eesti Energia's strategy envisages an increase in its production of renewable energy from 36 per cent to 43 per cent by 2023, as well as a cessation of electricity production from oil shale by 2030 and carbon neutrality by 2045. Enefit Green will be a key driver of its parent company’s strategic goals.The IPO proceeds will be used to develop, construct and operate renewable generation capacity, including greenfield wind and solar farms, in the Baltic states and Poland.