Standard content for Members only
To continue reading this article, please login to your Utility Week account, Start 14 day trial or Become a member.
If your organisation already has a corporate membership and you haven’t activated it simply follow the register link below. Check here.
Renewable infrastructure fund Greencoat UK Wind has raised £147 million through the sale of new shares to pay off its debts and boost growth.
More than 133 million shares will be issued to investors at a price of 110 pence each, bringing the total number of shares in the fund to nearly 737 million.
“We are delighted to announce a heavily oversubscribed capital raise, highlighting the strong support of both existing and new shareholders,” said the fund’s chairman Tim Ingram. “The proceeds will be used to pay down the company’s short term acquisition facility in full, enabling Greencoat UK Wind to pursue a pipeline of attractive investment opportunities. The company’s long term borrowings will remain in place.”
In April, the fund announced plans to issue 300 million shares over the following year to pay down the debts it built up through the purchase of the Stroupster Wind Farm in December for £280 million and a 28.2 per cent stake in Clyde Wind Farm in March. The acquisitions left the company with debts of £225 million – the equivalent of 38 per cent of its gross asset value.
Greencoat issued the first tranche of new shares in May, selling more than 92 million at price of 105p each to raise £100 million for the company. Following the second share issuance, the fund’s long term debts will be cut to £100 million – the equivalent of 11 per cent of its gross asset value.
Please login or Register to leave a comment.