Acquisition of New Asset

RNS Number : 4194C

Greencoat UK Wind PLC

28 June 2016

 

Acquisition of Screggagh Wind Farm

Increase in Greencoat UK Wind's net generating capacity to 420 MW

The Board of Greencoat UKW Wind PLC ("UKW"), is pleased to announce that it has entered into an agreement to acquire Screggagh Wind Farm for a total consideration of c. £27 million.

The acquisition, which is expected to complete on 30 June 2016, will include the prepayment of existing project finance indebtedness and will be funded by UKW's revolving credit facility (£20 million) and UKW's cash resources (c. £7 million).

Screggagh Wind Farm is located in County Tyrone, Northern Ireland and has a capacity of 20 MW and a forecast net load factor of 28.2%.  Screggagh was commissioned in May 2011 and receives 1 ROC per MWh.

In addition to announcing this acquisition, UKW notes the result of Thursday's referendum on membership of the European Union.  In summary, UKW does not expect any material change to its business as a result of the UK exiting the EU.  Being solely UK focused and deliberately low-risk, all of the company's assets and liabilities are inside the UK and sterling denominated.  In addition, the regulatory regime under which the assets operate is robust, longstanding and rooted in UK legislation.

Tim Ingram, Chairman, said: "We are delighted to announce the acquisition of Screggagh Wind Farm.  Our structure and financing enable us to investigate a wide range of deal sizes from all vendors in the market, allowing us to select only the most value accretive assets."

Following completion, UKW's total outstanding debt is expected to be c. 28% of Gross Asset Value (leverage limit 40%).

For further information, please contact:

Greencoat UK Wind PLC                              020 7832 9400

Stephen Lilley

Laurence Fumagalli

Tom Rayner

Tulchan                                                          020 7353 4200

Stephen Malthouse

Notes to Editors:

Greencoat UK Wind PLC is the leading listed renewable infrastructure fund, invested in nineteen operating UK wind farms with net generating capacity of 420 MW (including the acquisition of Screggagh Wind Farm).  The Company's aim is to provide investors with an annual dividend that increases in line with RPI inflation (6.34p for 2016) while preserving the capital value of its investment portfolio in the long term on a real basis through reinvestment of excess cash flow and the prudent use of portfolio leverage.

UKW is managed by an experienced team of senior executives from Greencoat Capital LLP, the cleantech and renewables focused investment management firm, and overseen by a strong and experienced independent board.

UKW is incorporated in England and Wales and is a UK Investment Trust.

For more information about UKW, please visit http://www.greencoat-ukwind.com

For more information about Greencoat Capital LLP, please visit http://www.greencoat-capital.com

 

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