REG - Atrato Onsite Energy - Acquisition of 34MW Operational Rooftop portfolio

Atrato Onsite EnergyAnnouncement

13/09/2023 07:15

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RNS Number : 2128M  Atrato Onsite Energy PLC  13 September 2023

13 September 2023

LEI: 213800IE1PPREDIIZB62

 

 
 
Atrato Onsite Energy plc
(the "Company")

 

ACQUISITION OF A 34MW OPERATIONAL ROOFTOP SOLAR PORTFOLIO
 

Atrato Onsite Energy plc (LSE: ROOF), the investment company focusing on clean
energy generation, is pleased to announce that it has entered into a share
purchase agreement to acquire a fully operational portfolio of rooftop solar
assets with a total value of £77.3m (the "Transaction").

The portfolio comprises 34MW of solar PV systems situated on residential
rooftops across the UK. The portfolio benefits from payments pursuant to the
government's feed-in-tariff ("FIT") scheme, payable directly to the Company by
the respective utility companies. The portfolio is being acquired from a fund
managed by Federated Hermes Infrastructure, with a financial effective date of
31(st) December 2022 and hence the Company will benefit from the operational
cashflows generated during the year to date. Completion of the Transaction is
expected to take 6 weeks.

The FIT contracts have a 12-year weighted average unexpired term and benefit
from annual, uncapped, RPI uplifts, with minimal exposure to wholesale power
prices. The Transaction includes £38.7m of existing fixed rate project
finance debt. The cost of debt is 2% and the existing project finance within
the structure amortises over the remaining 12-year year FIT period.

The Company and the Investment Adviser believe this portfolio to be a highly
accretive addition to the Company's portfolio of solar assets due to its
attractive return profile, with revenue streams underpinned by government
backed income and 100% uncapped RPI inflation linkage.

The portfolio is expected to generate 30GWh of clean energy annually,
providing 5,800 tonnes CO2 emissions saving per annum, equivalent to powering
10,000 UK homes or planting 230,000 trees.

 

Gurpreet Gujral, Managing Director of Atrato Partners, the Investment Adviser
to the Company said:

 

"We are delighted to have had the opportunity to acquire this significant
rooftop portfolio which has strong fundamentals and fits well into our current
portfolio. The acquisition will provide immediate, long-term, highly
contracted cash flows with 100% uncapped RPI linkage and UK government
backing."

 

 

 

ENQUIRIES

 

 Atrato Partners           +44 (0)77 959 75560

 Gurpreet Gujral

 Christopher Fearon

 Berenberg                 +44 (0)20 3207 7800

 Gillian Martin

 Ben Wright

 Dan Gee-Summons

 Kaso Legg Communications  atrato@kl-communications.com

 Charles Gorman            +44 (0)20 3995 6673

 Charlotte Francis

Notes to Editors

Atrato Onsite Energy plc (LSE: ROOF) is an investment company specialising in
clean energy generation with 100% carbon traceability. The Company focuses on
UK solar, helping its clients achieve net zero and reduce their energy bills.

 

The Company aims to provides investors with attractive capital growth and long
dated, index-linked income, targeting a 5% dividend yield and a NAV total
return of 8 - 10%((1)). Its shares were admitted to trading on the premium
segment of the Main Market of the London Stock Exchange on 23 November 2021.
Atrato Partners Limited is the Company's Investment Adviser.

 

Further information is available on the Company's website, www.atratoroof.com
(http://www.atratoroof.com) .

 

(1)      There is no certainty that these targets will be achieved.

 

 

 

 

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