REG - Greencoat Renewables - Net Asset Value and Dividend Announcement

Greencoat RenewablesAnnouncement

29/07/2025 14:00

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RNS Number : 0404T  Greencoat Renewables PLC  29 July 2025

 

 

THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR
IN PART, DIRECTLY OR INDIRECTLY, BY ANY MEANS OR MEDIA, IN OR INTO OR FROM THE
UNITED STATES, CANADA, AUSTRALIA, NEW ZEALAND, JAPAN OR ANY OTHER JURISDICTION
IN WHICH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL.

 

 

Net Asset Value and Dividend Announcement

 

Dublin, London, Johannesburg| 29 July 2025: Greencoat Renewables PLC
("Greencoat Renewables" or the "Company") today announces that its unaudited
Net Asset Value as of 30 June 2025 is €1,124 million (101.0c per share).

 

Net Asset Value

 

 Net Asset Value / Net Asset Value per share  €1,124 million /101.0c per share
 Q2 Dividend/Dividend per share               €19.0 million / 1.70250c per share

 

Financial and Operational Highlights

 

 ·      Robust cash generation and dividend cover despite challenging
 wind resource

 o  Q2 gross cash generation of €21.2 million1 equating to 1.1x gross
 dividend cover

 o  H1 gross cash generation of €68.7 million(2) equating to 1.8x gross
 dividend cover

 o  Q2 generation 16.1% and H1 generation 14.7% below budget, primarily due to
 European wind speeds significantly below long-term average

 o  6.81 cent per share target dividend for 2025, with full year gross
 dividend cover anticipated to be c.1.5x

 ·    Accretive disposals underpinning NAV and providing optionality

 o  Agreed the sale of a 116MW portfolio of six Irish assets for total
 proceeds of €156 million at a 4% premium to last reported NAV

 § Accretive portfolio sale unlocking embedded value

 § Increase in contracted revenue profile (due to merchant revenue weighting
 of disposed assets)

 § Proceeds to be allocated to the repayment of the RCF

 o  Total proceeds from recent asset recycling of more than €200 million,
 all at a premium to NAV

 ·      Strong balance sheet, gearing reducing

 o  Total debt of €1,351 million equating to gearing of 54.6% before impact
 of Irish disposal proceeds being allocated to debt repayment

 o  Extended existing €350 million RCF by 2 years to February 2028 on
 similar terms (shortly after period end)

 o  Entered into swap agreements in July 2025 to fix 5-year interest rate to
 3.9% (vs GRP long term debt cost of debt assumption of 4.7%) relating to
 recently extended Facility A (maturity extended by 5 years to October 2030)

 o  Weighted average cost of debt of 2.9% increasing to 3.4% on a pro-forma
 basis from October 2025

 ·      Execution of further strategic initiatives

 o  Additional listing on the Johannesburg Stock Exchange completed in June
 2025 supporting GRP's strategy to broaden its investor base, increase
 liquidity and position the Company for growth by providing access to a new and
 deep pool of capital

 o  Revised investment management fee in place from April 2025 calculated 50%
 on NAV and 50% on the lower of NAV and market capitalisation resulting in 11%
 management fee reduction in Q2 versus previous methodology

 ·      Q2 NAV incorporates thorough P50 revision (full portfolio review
 completed)

 o  Q2 NAV down 4.1c at 101.0c:

 § +1.9c from Q2 net cash generation, offset by -1.7c of dividends paid and
 -0.6c for depreciation

 § +0.6c relating to the accretive disposal of €156 million Irish portfolio

 § -5.2c impact from P50 generation revision

 ·      Reduction of 119GWh over 17 assets generating 2.2TWh over the
 life of the assets (5.2% generation loss)

 ·      65% relating to Sweden (-77GWh or -11%), Ireland (-25GWh), France
 (-13GWh), Spain (-4GWh)

 ·      Portfolio review now complete (172GWh reduction in total)

 § +0.4c impact from higher near term CPI

 § +0.5c impact from other operational updates (incl. +0.8c from reduction in
 German opex)

 o  Levered portfolio IRR at 9.4%(3) on NAV implying c.12.4% on a share price
 adjusted basis and c.10% spread over 10-year Euro sovereign debt

 Q2 NAV per share movement

                                      cents per share
 NAV as at 31 March 2025               105.1
 Net cash generation                   1.9
 Depreciation                          (0.6)
 Dividend                              (1.7)
 Gain on disposal                      0.6
 P50 generation revision               (5.2)
 CPI                                   0.4
 Operational update and miscellaneous  0.5
 NAV as at 30 June 2025                101.0

 

(1) Net cash generation after project level debt repayments amounted to
€18.3m

(2) Net cash generation after project level debt repayments amounted to
€64.8m

(3) Based on unlevered portfolio IRR of 7.3%, long term gearing assumption of
40% and cost of debt assumption of 4.7%.

 

 

The Company's Q2 2025 Factsheet is available on the Company's website,

www.greencoat-renewables.com (http://www.greencoat-renewables.com) .

 

The Company also announces a quarterly interim dividend of 1.70250c per share
with respect to the quarter ended 30 June 2025.

 

Dividend Timetable

 Currency conversion announcement (by 11h00 South African ("SA") time) for SA  11 August 2025
 register:
 Last day to trade for SA register:                                            12 August 2025
 Ex-Dividend Date for SA register:                                             13 August 2025
 Ex-Dividend Date for United Kingdom ("UK") and Ireland register:              14 August 2025
 Record Date:                                                                  15 August 2025
 Payment Date:                                                                 05 September 2025

 

Irish Dividend Withholding Tax

 

The gross dividend will be subject to Irish Dividend Withholding Tax ("Irish
DWT") at a rate of 25%, which will be deducted from the amount paid to
shareholders. Shareholders who are not tax resident or ordinarily resident in
Ireland and who meet certain conditions may be entitled to claim a refund of
Irish DWT (being the full amount of the Irish DWT deducted) withheld from the
Irish Revenue Commissioners.

 

Shareholders beneficially entitled to the dividend who are not companies, are
not resident or ordinarily resident for the purposes of tax in Ireland, and
are tax resident in a relevant territory (such as South Africa) can apply for
a refund of Irish DWT. Companies can also apply for a refund if they are tax
resident in South Africa and not under the direct or indirect control of Irish
tax residents; are controlled by persons who are tax resident in South Africa
(or another country with which Ireland has a double taxation agreement) and
not controlled directly or indirectly by others; or if their principal class
of shares (or those of their parent company) are substantially and regularly
traded on a recognised stock exchange in Ireland or in a country with which
Ireland has a double taxation agreement. Such shareholders are not generally
expected to have any Irish tax charge on dividends.

 

A refund of Irish DWT withheld can be applied for with the Claim for refund of
Dividend Withholding Tax available on the Irish Revenue Commissioner's
official website and the following link:

 

https://www.revenue.ie/en/companies-and-charities/documents/dwt/dwt-claim-for-refund.pdf
(https://url.uk.m.mimecastprotect.com/s/XN-fCjZwqfYr7GzJSWf9imZZy8?domain=revenue.ie)

 

Shareholders should complete the required details and select Option A or
Option B as appropriate. Shareholders will also be required to provide the
relevant Exemption Declaration with the form (Form V2A for individuals, Form
V2B for companies and Form V2C for other unincorporated shareholders). The
Forms V2A and V2C require confirmation from the local tax authority that the
shareholder is tax resident in that jurisdiction. The relevant forms can be
found at this link:

 

https://www.revenue.ie/en/companies-and-charities/dividend-withholding-tax/exemptions-for-non-residents.aspx
(https://www.revenue.ie/en/companies-and-charities/dividend-withholding-tax/exemptions-for-non-residents.aspx)

 

The relevant form must be filed with Irish Revenue before the expiry of four
years from the year in which the Irish DWT was deducted in order to claim the
refund.

 

South African income tax and dividends tax consequences

 

The dividend should be regarded as a 'foreign dividend' for South African
income tax and South African dividends tax purposes, paid from Ireland.

 

Foreign dividends received in respect of shares which are dual-listed on the
JSE are, however, exempt from income tax. Consequently, no South African
income tax should be incurred by the shareholders in respect of the dividend
received.

 

For shareholders on the South African register, the dividend is subject to
South African dividend tax at a rate of 20% ("SA DWT"), unless the shareholder
qualifies for an exemption.

 

Any shareholder who receives a dividend which is subject to SA DWT (i.e. where
no exemption is available) will qualify for a reduction in SA DWT in respect
of Irish DWT, to the extent that the Irish Revenue Commissioners does not
allow the refund of the Irish DWT after application for same (i.e. where there
is no right of recovery).

 

The ultimate result, should Irish DWT be refunded, is that the dividend will
be subject to SA DWT at a rate of 20% (unless a shareholder qualifies for an
exemption from SA DWT).

 

Additional information for shareholders on the South African Register

 

To facilitate settlement of the dividend to entitled SA shareholders, shares
may not be dematerialised or rematerialised between Wednesday, 13 August 2025
(the SA Ex-Dividend Date) and Friday, 15 August 2025 (the Record Date). The
exchange rate for determining the quarterly dividend paid in rand will be
confirmed by way of an announcement on Monday, 11 August 2025. Shares cannot
be moved between the SA Share Register, or between the SA, UK and Ireland
register, between Monday, 11 August 2025 and Friday, 15 August 2025. All dates
are inclusive.

 

The Company has a total of 1,113,535,009 shares in issue, of which 200,000 are
held in treasury. The dividend will be distributed by the Company (Irish tax
registration number 598470) and is regarded as a foreign dividend for
shareholders on the South African register.

 

 

General

 

These comments are provided for general information purposes only.
Shareholders should seek independent professional tax advice if they are
uncertain about their tax position.

 

 

--- ENDS ---

 

     For further information, please contact:

 

 Schroders Greencoat LLP (Investment Manager)
 Bertrand Gautier
 Paul O'Donnell
 John Musk                                        +44 20 7832 9400

 FTI Consulting (Investor Relations & Media)
 Sam Moore                                        +353 87 737 9089
 Aoife Mullen                                     greencoat@fticonsulting.com (mailto:greencoat@fticonsulting.com)

 

 

About Greencoat Renewables PLC

Greencoat Renewables PLC is an investor in euro-denominated renewable energy
infrastructure assets. Initially focused solely on the acquisition and
management of operating wind farms in Ireland, the Company also invests in
wind and solar assets in certain other European countries with stable and
robust renewable energy frameworks. It is managed by Schroders Greencoat LLP,
an experienced investment manager in the listed renewable energy
infrastructure sector.

 

Forward Looking Statements and Important Information

 

This announcement may include statements that are, or may be deemed to be,
"forward-looking statements", including terms such as "believes", "estimates",
"anticipates", "expects", "intends", "may", "plans", "projects", "will",
"explore" or "should" or, in each case, their negative or other variations or
comparable terminology or by discussions of strategy, plans, objectives,
goals, future events or intentions. Forward-looking statements include all
matters that are not historical facts. By their nature, forward-looking
statements involve risks and uncertainties because they relate to future
events and depend on circumstances that may or may not occur in the future.
Forward-looking statements are not guarantees of future performance. The
Company's actual investment performance, results of operations, financial
condition, liquidity, distribution policy and the development of its financing
strategies may differ materially from the impression created by, or described
in or suggested by, the forward-looking statements contained in this
announcement. In addition, this announcement may include target figures for
future financial periods. Any such figures are targets only and are not
forecasts. Subject to their legal and regulatory obligations, Greencoat
Renewables, the Directors and Schroders Greencoat LLP, expressly disclaim any
obligations to update or revise any forward-looking statement contained herein
to reflect any change in expectations with regard thereto or any change in
events, conditions or circumstances on which any statement is based.

The financial information contained in this announcement has not been audited
or reviewed by Greencoat Renewables' auditors in accordance with the
International Standards on Auditing (Ireland) or International Standard on
Review Engagements.

 

 

 

 

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