REG - NextEnergy Solar Fnd - Reduced Investment Management Fee

NextEnergy Solar FundAnnouncement

19/06/2025 07:00

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RNS Number : 5472N  NextEnergy Solar Fund Limited  19 June 2025

LEI: 213800ZPHCBDDSQH5447

19 June 2025

NextEnergy Solar Fund Limited

("NESF" or "the Company")

 

 

Reduced Investment Management Fee

 

 

Following the update provided at the Company's full year results on 16 June
2025, the NESF Board is pleased to report that it has concluded constructive
discussions with the Company's Investment Manager and Investment Adviser
("Investment Manager"), which has resulted in a reduction in fees incurred by
NESF.  The change to the ongoing fees will take effect from 1 April 2025,
being the start of the Company's current financial year.

 

Based on the closing share price on 1 April 2025, this change would result in
a reduction of the Investment Management fee of c.13%, equivalent to
approximately £0.6m per annum.

 

Under the reduced fee structure, the Investment Management fee will be applied
to an equal weighting of (i) the average of the closing daily market
capitalisation during each quarter and (ii) the published Net Asset Value for
that quarter.  The Investment Management fee will be capped at the lower of
the new agreement and the old agreement, which was based solely on Net Asset
Value.

 

The table below outlines the changes in fees:

 

Old Investment Management Fee

 1% of up to £200m        Net Asset Value
 0.9% of £200m - £300m    Net Asset Value
 0.8% of >£300m           Net Asset Value

 

New Investment Management Fee

 1% of up to £200m        50% Net Asset Value + 50% Market Cap
 0.9% of £200m - £300m    50% Net Asset Value + 50% Market Cap
 0.8% of >£300m           50% Net Asset Value + 50% Market Cap

 

The Board is working with its advisers to assess various options aimed at
improving shareholder value. The Board will consult with major shareholders on
certain options that it is considering before making any definitive proposals.

 

The Board will set out progress made and, if appropriate, the proposed plans
and/or actions which are aimed at improving shareholder value, in the circular
to be sent to all shareholders convening the AGM, which will be held in the
latter half of August. The business of the AGM will also include a
discontinuation resolution, due to the Company's ordinary shares trading at an
average discount of over 10% to the Company's NAV over financial year (as per
the Company's Articles).

 

 

 

 For further information, follow NESF on LinkedIn
 (https://nextenergygroup.sharepoint.com/sites/NCIR/Shared%20Documents/NESF/RNS%20and%20website/2025/June/FranklinGothicURWLig)

 or contact:

 NextEnergy Capital                                                                                                               020 3746 0700

 Michael Bonte-Friedheim                                                                                                          ir@nextenergysolarfund.com (mailto:ir@nextenergysolarfund.com)
 Ross Grier
 Stephen Rosser
 Peter Hamid (Investor Relations)
                                                                                                                                  020 7653 4000

 RBC Capital Markets
 Matthew Coakes
 Kathryn Deegan
                                                                                                                                  020 7908 6000

 Cavendish
 Robert Peel
                                                                                                                                  020 7379 5151

 H/Advisors Maitland
 Neil Bennett
 Finlay Donaldson
                                                                                                                                  01481 742642

 Ocorian Administration (Guernsey) Limited
 Kevin Smith

 

 

Notes to Editors (1):

About NextEnergy Solar Fund

NextEnergy Solar Fund is a specialist solar energy and energy storage
investment company that is listed on the Main Market of the London Stock
Exchange.

 

NextEnergy Solar Fund's investment objective is to provide Ordinary
Shareholders with attractive risk-adjusted returns, principally in the form of
regular dividends, by investing in a diversified portfolio of utility-scale
solar energy and energy storage infrastructure assets.  The majority of
NESF's long-term cash flows are inflation-linked via UK government subsidies.

 

As at 31 March 2025, the Company had an audited gross asset value of
£1,061m.  For further information please visit www.nextenergysolarfund.com
(http://nextenergysolarfund.com/)

 

Article 9 Fund

NextEnergy Solar Fund is classified under Article 9 of the EU Sustainable
Finance Disclosure Regulation and EU Taxonomy Regulation.  NextEnergy Solar
Fund's sustainability-related disclosures in the financial services sector are
in accordance with Regulation (EU) 2019/2088 and can be accessed on the ESG
section of both the NextEnergy Solar Fund and NextEnergy Capital websites.

 

About NextEnergy Group

NextEnergy Solar Fund is managed by NextEnergy Capital, part of the NextEnergy
Group.  NextEnergy Group was founded in 2007 to become a leading market
participant in the international solar sector which now employs over 380
professionals.  Since its inception, NextEnergy Group has been active in the
development, construction, and ownership of solar assets across multiple
jurisdictions.  NextEnergy Group operates via its three business units:
NextEnergy Capital (Investment Management), WiseEnergy (Operating Asset
Management), and Starlight (Asset Development).

 

·     NextEnergy Capital: has over 18 years of specialist solar
expertise having invested in over 530 individual solar plants across the
world.  NextEnergy Capital currently manages four institutional funds with a
total capacity in excess of 3GW+ and has funds under management of c.$4.4bn.
More information is available at www.nextenergycapital.com
(https://www.nextenergycapital.com/)

·    WiseEnergy®:  is a leading specialist operating asset manager in
the solar sector.  Since its founding, WiseEnergy has provided solar asset
management, monitoring and technical due diligence services to over 1,600
utility-scale solar power plants with an installed capacity in excess of
3.5GW.  More information is available at www.wise-energy.com
(https://www.wise-energy.com/)

·   Starlight: has developed over 100 utility-scale projects
internationally and continues to progress a large pipeline of c.10GW of both
green and brownfield project developments across global geographies.  More
information is available at www.starlight-energy.com
(https://www.starlight-energy.com/)

 

Notes:

(1:) All financial data is audited at 31 March 2025, being the latest date in
respect of which NextEnergy Solar Fund has published financial information.

 

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