REG - US Solar Fund PLC US Solar Fund - USFP - MS2 SALE UPDATE

Us Solar FundAnnouncement

25/04/2023 07:00

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RNS Number : 2911X  US Solar Fund PLC  25 April 2023

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25 April 2023

US SOLAR FUND PLC (USF, the "Company")

MS2 SALE UPDATE

US Solar Fund plc (LON: USF (USD)/USFP (GBP)) is pleased to announce that it
has executed a binding agreement to sell USF's 50% interest in the 200MW(DC)
Mount Signal 2 (MS2) asset to MN8 Energy LLC (MN8), a renewable energy
business formerly known as Goldman Sachs Renewable Power LLC. This follows the
January 2023 exercise of the purchase option granted to MN8 in 2022 (Option).

The terms of the binding agreement are consistent with the terms of the
Option. MN8 will acquire USF's 50% interest in MS2 for US$52.2 million
excluding working capital plus the non-refundable Option fee of $1 million
paid in 2022. The sale will imply a gross return of approximately 11% per
annum 1  (#_ftn1) since USF announced the agreement to acquire up to 50% of
MS2 from New Energy Solar in December 2020.

USF expects the transaction to close in the second quarter of 2023 subject to
customary regulatory and financier consents. The transaction has no impact on
the Strategic Review and Formal Sale Process (Strategic Review) announced on
17 October 2022. The Company will update shareholders regarding use of
proceeds at the conclusion of the Strategic Review (or the financial close of
the MS2 sale if earlier).

 

For further information, please contact:

 US Solar Fund                    +1 718 230 4329

 Whitney Voute

 Cenkos Securities plc            +44 20 7397 8900

 James King

 Tunga Chigovanyika

 Will Talkington

 Jefferies International Limited  +44 20 7029 8000

 Stuart Klein

 Gaudi Le Roux

 KL Communications                +44 20 3995 6673
 Charles Gorman

 Charlotte Francis

 Millie Steyn

 

 

About US Solar Fund plc

US Solar Fund plc, established in 2019, listed on the premium segment of the
London Stock Exchange in April 2019. The Company's investment objective is to
provide investors with attractive and sustainable dividends with an element of
capital growth by owning and operating solar power assets in North America and
other OECD countries in the America.

The solar power assets that the Company acquires or constructs are expected to
have an asset life of at least 30 years and generate stable and uncorrelated
cashflows by selling electricity to creditworthy offtakers under long-term
power purchase agreements (or PPAs). The Company's portfolio currently
(including the Company's 50% interest in MS2) consists of 42 operational solar
projects with a total capacity of 543MW(DC), all located in the United States.

 

Further information on the Company can be found on its website
at http://www.ussolarfund.co.uk (http://www.ussolarfund.co.uk/) .

 

About the Investment Manager

USF is managed by New Energy Solar Manager (NESM). NESM also manages New
Energy Solar, an Australian Securities Exchange (ASX)-listed fund. Combined,
US Solar Fund and New Energy Solar have committed approximately US$1.3 billion
to 57 projects totalling 1.2GWDC.

 

NESM is owned by E&P Funds, the funds management division of E&P
Financial Group, an ASX listed company (ASX: EP1) with over A$20 billion of
funds under advice.

 1  (#_ftnref1) Before taxes and transaction costs. Based on the MS2 sale
reaching financial close in May 2023.

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