The investment firm will begin operating in Februaryand will initially target investments of 100MW per year, says Solar Frontier ina statement.
The companies would offer funding of 30-40bn yen($341-$454m) a year, according to a report in the Nikkei newspaper.
A 1MW solar plant typically requires investmentof 300m yen, says Yugo Nakamura, analyst at Bloomberg New Energy Finance inTokyo.
Solar Frontier, owned by Showa Shell Sekiyu, aJapanese subsidiary of oil group Royal Dutch Shell, will contribute 60% of the capital while state-owned DBJ will put up the remainder.
