Debt Financing

RNS Number : 9773B

Gresham House Energy Storage Fund

14 October 2020

 

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This announcement is not an advertisement for the purposes of the Prospectus Regulation Rules of the Financial Conduct Authority ("FCA") and not a prospectus and not an offer of securities for sale in any jurisdiction.  Neither this announcement, nor anything contained herein shall form the basis of, or be relied upon in connection with, any offer or commitment whatsoever in any jurisdiction and does not constitute a recommendation regarding any securities.

14 October 2020

  Gresham House Energy Storage Fund PLC

("GRID", the "Company" or the "Fund")

Debt financing

Gresham House Energy Storage Fund plc (LSE: GRID), the UK's largest operational utility-scale battery storage fund, is pleased to announce that it has raised approximately £15.0 million by issuing, through its wholly owned subsidiary, Gresham House Energy Storage Holdings plc (the "Issuer"), a mixture of short-term and medium-term secured power bonds (the "GRID Power Bonds").

The majority of the proceeds will be used to acquire an operating asset which is in the final stages of due diligence with an agreement expected to be concluded during the fourth quarter. The addition of this project to the Company's existing portfolio of operational assets should be accretive to the Fund's cash flow and NAV per share.

The GRID Power Bonds provide the Company with flexible fixed rate financing terms with low arrangement, legal and other ancillary fees as compared to a typical revolving credit facility or project finance .  The GRID Power Bonds will pay interest semi-annually, in arrears, in equal instalments at a fixed rate of 5.0%. The Company intends to refinance the short-term GRID Power Bonds, representing an aggregate amount of £7.0 million, within the next 12 months.

The Issuer may issue further series of GRID Power Bonds, up to an aggregate subscription amount of 40.0 million. The offer period for GRID Power Bonds will be open until July 2021 to, among other things, assist with the acquisition of further battery storage projects.

- ENDS -

For enquiries, please contact:

Gresham House New Energy Ben Guest	[phone]
Jefferies International Limited Stuart Klein Gaudi Le Roux Neil Winward	[phone]
KL Communications Charles Gorman Camilla Esmund Alex Hogan	[e-mail] [phone]

About the Company and the Manager:

Gresham House Energy Storage Fund plc owns a portfolio of utility-scale operational energy storage systems (known as ESS) located in Great Britain. The portfolio has a total capacity of 215MW. The Company is managed by Gresham House Asset Management Limited under the leadership of Ben Guest. The Company was admitted to trading on the London Stock Exchange (Specialist Fund Segment) on 13 November 2018 having raised £100.0 million of gross proceeds from investors. Including issuance under the Placing Programme, it has now raised a total of approximately £238.0 million of gross proceeds from investors.

The Gresham House New Energy team has a proven track record in developing and operating energy storage and other renewable assets having developed 224MW of Energy Storage Systems and approximately 290MW of predominantly ground-mounted solar projects. Gresham House Asset Management Limited currently manages 207MW of solar and wind energy projects.

Gresham House Asset Management Limited is the FCA authorised operating business of Gresham House plc, a London Stock Exchange quoted specialist alternative asset manager. Gresham House is committed to operating responsibly and sustainably, taking the long view in delivering sustainable investment solutions.

www.greshamhouse.com

Definition of ESS projects and utility-scale battery storage systems

ESS projects are utility-scale battery storage systems.  These projects are the enabling infrastructure that will support the continued growth of renewable energy sources such as wind and solar, essential to the UK's stated target to reduce carbon emissions. They store excess energy generated by renewable energy sources and then release that stored energy back into the grid during peak hours when there is increased demand.

Forward-looking statements

This announcement contains "forward-looking statements."  Actual events or results may differ materially from those reflected or contemplated in such forward-looking statements.

 

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