REG - Octopus Renewables - Finnish Wind and Solar Developer Asset Commitment

Octopus Renewables Infrastructure TrustAnnouncement

06/02/2025 07:00

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RNS Number : 0934W  Octopus Renewables Infra Trust PLC  06 February 2025

 

06 February 2025

 

LEI: 213800B81BFJKWM2JV13

 

Octopus Renewables Infrastructure Trust plc

("ORIT" or the "Company")

 

Increased Commitment to Finnish Wind and Solar Developer Asset

 

Follows significant progress of the investment to date and will support
progression of pipeline

Deal to be restructured to provide ORIT with a direct stake in the developer
 

 

Octopus Renewables Infrastructure Trust plc, the diversified pan-European
renewable energy infrastructure impact company, announces it has committed an
additional €3.4 million (£2.8 million equivalent) to Nordic Generation
("Norgen"), a specialist developer focused on the Finnish wind and solar
market, to build on the strong progress already achieved by the asset and to
support its Phase 2 pipeline.

 

As part of the transaction, ORIT's existing 50% holding in Nordic Renewables
will convert into a direct 30% stake in the integrated Norgen development
business. The new structure is expected to be value accretive for ORIT, with a
base case increase of between £1.0 and £1.5 million, and should allow for
greater range of upside for ORIT over the life of the asset.

 

The initial commitment of €3.4 million (c. £2.9 million) was made in April
2022 and at today's date is €2.5 million drawn. The value of ORIT's holding
in Nordic Renewables was valued at €4.8 million (£4.0 million) as at 31
December 2024 - an increase of £2.0 million over the quarter. The additional
funding takes ORIT's total maximum commitment to approximately €6.8 million
(£5.6 million) and means that the total capacity of projects expected to
reach Ready to Build stage increases to 845MW - more than double the
anticipated combined capacity of 400MW originally projected.

 

ORIT's investment is being made alongside another fund managed by Octopus
Energy Generation ("Sky" or "ORI SCSp"), which held the remaining 50% stake in
Nordic Renewables and will also be taking a 30% stake in Norgen on the same
terms as ORIT. The remaining 40% stake is held by the management team.

 

Phil Austin, Chair of Octopus Renewables Infrastructure Trust plc, commented:

"We are delighted to announce this follow-on commitment and restructuring of
the Norgen investment. The Finnish developer has already made positive
progress to date, with a number of projects expected to reach construction
phase this year and next, having secured key permits. We believe the
additional funding in this transaction will enhance generation capacity,
providing much-needed clean energy. We also believe the updated ownership
structure has the potential to deliver greater upside and opportunities for
ORIT in future."

 

 

 

 Octopus Energy Generation (Investment Manager)                          Via Burson Buchanan or

 Chris Gaydon, David Bird                                                orit@octopusenergygeneration.com (mailto:orit@octopusenergygeneration.com)

 Peel Hunt (Broker)                                                      020 7418 8900

 Liz Yong, Luke Simpson, Huw Jeremy (Investment Banking)

 Alex Howe, Chris Bunstead, Ed Welsby, Richard Harris, Michael Bateman
 (Sales)

 Burson Buchanan (Financial PR)                                           020 7466 5000

 Charles Ryland, Verity Parker, Samuel Adams

 Apex Listed Companies Services (UK) Limited (Company Secretary)          020 3327 9720

 

 

Notes to editors

 

About Octopus Renewables Infrastructure Trust

 

Octopus Renewables Infrastructure Trust ("ORIT") is a London-listed,
closed-ended investment company incorporated
in England and Wales focused on providing investors with an attractive
and sustainable level of income returns, with an element of capital growth, by
investing in a diversified portfolio of renewable energy assets
in Europe and Australia. As an impact fund, ORIT is helping accelerate
the transition to net zero by investing in green energy, whilst also
contributing to a broader set of UN Sustainable Development Goals through its
impact initiatives. ORIT's investment manager is Octopus Energy
Generation.  

 

Further details can be found at www.octopusrenewablesinfrastructure.com
(http://www.octopusrenewablesinfrastructure.com/)  

 

About Octopus Energy Generation

 

Octopus Energy Generation is driving the renewable energy agenda by building
green power for the future. Its specialist renewable energy fund management
team invests in renewable energy assets and broader projects helping the
energy transition, across operational, construction and development stages.
The team was set up in 2010 based on the belief that investors can play a
vital role in accelerating the shift to a future powered by renewable energy.
It has a 14-year track record with approximately £6.7 billion of assets under
management (AUM) (as of 30 September 2024) across 19 countries and total
4.5GW. These renewable projects generate enough green energy to power 2.6
million homes every year, the equivalent of taking over 1.4 million petrol
cars off the road. Octopus Energy Generation is the trading name of Octopus
Renewables Limited.

 

Further details can be found at www.octopusenergygeneration.com
(http://www.octopusenergygeneration.com/)  

 

 

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