REG - Renew Infra Grp Ld - Disposal of Two UK Onshore Wind Farms

Renewables InfrastructureAnnouncement

22/03/2024 11:45

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RNS Number : 9910H  Renewables Infrastructure Grp (The)  22 March 2024

 

 

22 March 2024

The Renewables Infrastructure Group Limited

"TRIG" or "the Company", a London-listed investment company advised by
InfraRed Capital Partners ("InfraRed") as Investment Manager and Renewable
Energy Systems ("RES") as Operations Manager.

Disposal of two UK onshore wind farms

·      Sale of two Scottish assets at a premium to TRIG's valuation as
at 31 December 2023

·      TRIG's third disposal transaction at a premium to NAV in seven
months

·      Proceeds to be used to reduce Revolving Credit Facility ("RCF")
borrowings

TRIG announces the sale of its 100% equity interests in Forss and Little Raith
onshore wind farms in the UK for a total consideration of £51m. The sale is
at a 4% premium to the valuation of the wind farms as at 31 December 2023.

 

This disposal follows TRIG's recent sale of Pallas wind farm and the sale of
three onshore wind farms in H2 2023, together raising a total of £125m. The
transactions form part of the Company's strategy to reduce its floating rate
debt. The Company expects to be able to reduce its RCF from £364m at 31
December 2023 to c. £150m during 2024. The Company is also reducing the size
of its Revolving Credit Facility commitment from £750m capacity to £600m.

 

The Forss and Little Raith projects, located in Scotland with a total
generation capacity of c. 32MW, have been owned and operated by TRIG since
2013 and 2019 respectively.

 

Richard Crawford, Head of Energy Income Funds at InfraRed said:

"TRIG has now sold six assets at an average double-digit premium to their
respective valuations at the point of sale, underscoring our confidence in the
Company's portfolio valuation and the disconnect between private and public
market valuations for renewables infrastructure."

Enquiries

InfraRed Capital Partners
Limited                              +44 (0) 20
7484 1800

Richard Crawford

Phil George

Minesh Shah

Mohammed Zaheer

 

Brunswick
+44 (0) 20 7404 5959 / TRIG@brunswickgroup.com

Mara James

 

Investec Bank
Plc
+44 (0) 20 7597 4000

Lucy Lewis

Tom Skinner

 

BNP Paribas
                                                    +44
(0) 20 7595 9444

Virginia Khoo

Carwyn Evans

Notes

The Company

The Renewables Infrastructure Group ("TRIG" or the "Company") is a leading
London-listed renewable energy infrastructure investment company. The Company
seeks to provide shareholders with an attractive long-term, income-based
return with a positive correlation to inflation by focusing on strong cash
generation across a diversified portfolio of predominantly operating projects.

 

TRIG is invested in a portfolio of wind, solar and battery storage projects
across six countries in Europe with aggregate net generating capacity of
2.8GW; enough renewable power for 1.9 million homes and to avoid 2.3 million
tonnes of carbon emissions per annum. TRIG is seeking further suitable
investment opportunities which fit its stated Investment Policy.

 

Further details can be found on TRIG's website at www.trig-ltd.com
(http://www.trig-ltd.com) .

 

Investment Manager

 

InfraRed Capital Partners is an international infrastructure investment
manager, with more than 190 professionals operating worldwide from offices in
London, New York, Sydney, Seoul and Madrid. Over the past 25 years, InfraRed
has established itself as a highly successful developer and custodian of
infrastructure assets that play a vital role in supporting communities.
InfraRed manages US$14bn+ of equity capital(1) for investors around the globe,
in listed and private funds across both income and capital gain strategies.

 

A long-term sustainability-led mindset is integral to how InfraRed operates as
it aims to achieve lasting, positive impacts and deliver on its vision of
Creating Better Futures. InfraRed has been a signatory of the Principles of
Responsible Investment since 2011 and has achieved the highest possible PRI
rating(2) for its infrastructure business for seven consecutive assessments,
having secured a 5-star rating for the 2023 period(3). It is also a member of
the Net Zero Asset Manager's Initiative and is a TCFD supporter.

 

InfraRed is part of SLC Management, the institutional alternatives and
traditional asset management business of Sun Life. InfraRed represents the
infrastructure equity arm of SLC Management, which also incorporates
BentallGreenOak, a global real estate investment management adviser, and
Crescent Capital, a global alternative credit investment asset manager.

 

Further details can be found on InfraRed's website at www.ircp.com
(http://www.ircp.com/) .

 

1.         Uses 5-year average FX as at 30th September 2023 of GBP/USD
of 1.2944; EUR/USD 1.1291. EUM is USD 13.597m.

 

2.         Principles for Responsible Investment ("PRI") ratings are
based on following a set of Principles, including incorporating ESG issues
into investment analysis, decision-making processes and ownership policies.
More information is available at https://www.unpri.org/about-the-pri
(https://www.unpri.org/about-the-pri) .

 

3.         In the 2023 Principles for Responsible Investment ("PRI")
assessment, InfraRed achieved a 5 star rating for the Policy Governance and
Strategy and Infrastructure and a 4 star rating for the newly created
Confidence Building Measures. Please find InfraRed's report available for
download on our website here: https://www.ircp.com/sustainability/
(https://www.ircp.com/sustainability/)

Operations Manager

TRIG's Operations Manager is RES ("Renewable Energy Systems"), the world's
largest independent renewable energy company.

RES is the world's largest independent renewable energy company, working
across 24 countries and active in wind, solar, energy storage, biomass, hydro,
green hydrogen, transmission, and distribution. An industry innovator for over
40 years, RES has delivered more than 24GW of renewable energy projects across
the globe and plans to bring more than 22GW of new capacity online in the next
five years.

As a service provider, RES has the skills and experience in asset management,
operations and maintenance (O&M), and spare parts - supporting 41GW of
renewable assets across 1,300 sites. RES brings to the market a range of
purposeful, practical technology-based products and digital solutions designed
to maximise investment and deployment of renewable energy. RES is the power
behind a clean energy future where everyone has access to affordable zero
carbon energy bringing together global experience, passion, and the innovation
of its 4,500 people to transform the way energy is generated, stored and
supplied.

Further details can be found on the website at www.res-group.com
(http://www.res-group.com/) .

 

 

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