Athene Holding Ltd. (NYSE: ATH), a financial services company focused on retirement savings, has acquired Petros PACE Finance LLC, a provider of commercial property assessed clean energy (C-PACE) financing to owners and developers of commercial properties.

Since 2016, Petros has originated over $700 million in long-term, fixed-rate financing for energy efficiency, water efficiency, renewable energy and resiliency projects. The firm’s C-PACE financing is secured by a special property tax assessment providing a more affordable financing alternative to mezzanine debt and equity across a spectrum of commercial properties.

The investment in the firm will be managed by a team at Apollo, Athene’s asset management partner, and expected to see an acceleration of rapid growth in C-PACE financing.

“This transaction is a compelling opportunity to partner with the Petros and its best-in-class team at the center of the ESG movement in commercial real estate, while building on our longstanding strategy of investing in businesses that add direct origination sourcing capabilities to our alpha-generating investment portfolio,” said Jim Belardi, chairman and CEO of Athene. “Climate concerns, tenant demand and legislative mandates are driving developers to look for new opportunities to make properties more energy efficient, and Petros PACE Finance is the industry leader providing flexible funding solutions to meet those needs.”

CIBC Capital Markets is serving as financial advisor to Athene, and Gibson, Dunn & Crutcher LLP and Sidley Austin LLP are serving as legal advisors to Athene. Barclays is serving as financial advisor to Petros, and Skadden, Arps, Slate, Meagher & Flom LLP and Winston & Strawn LLP are serving as legal advisors to Petros.