VH Global Sustain. - Net Asset Value and Factsheet

VH Global Energy Infrastructure

04/11/2022 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20221104:nRSD2825Fa&default-theme=true

RNS Number : 2825F  VH Global Sustainable Energy Oppt.  04 November 2022

VH Global Sustainable Energy Opportunities plc

4 November 2022

 

Net Asset Value as at 30 September 2022

 

VH Global Sustainable Energy Opportunities plc (the "Company" or "GSEO")
announces that its unaudited net asset value ("NAV") as at 30 September 2022
was £475.3m, equivalent to a NAV per ordinary share of 112.5p. This
represents a 0.5% reduction from 113.1p as at 30 June 2022.

 

The movements in NAV during the period include:

 

                                                    Pence per Share
 Net Asset Value per Share as at 30 June 2022       113.1
 Adjustment for share issue                         (1.4)
 Dividend paid                                      (1.25)
 Fund expenses                                      (0.2)
 Discount rate                                      (6.8)
 Forecast inflation                                 0.6
 Construction-to-Operational assets                 1.9
 Asset value creation                               3.7
 Foreign exchange                                   2.9
 Net Asset Value per share as at 30 September 2022  112.5

 

Discount rates

An increase in discount rates of 2% on average, primarily driven by the rise
of the underlying risk-free rate of 1.7% from the last quarter, resulting in
base case discount rates at 30 September 2022 of 8.6% in the US, 8.9% in
Australia and 12.6% in Brazil.

 

Forecast Inflation

Increases in overall inflation during the quarter had a positive impact on
NAV. The base case short-term 2023 inflation rates are 3.5% in the US, 4.8% in
Australia and 4.7% in Brazil. Long‑term inflation rates assumptions are 2.0%
in the US, 2.5% in Australia and 3.0% in Brazil.

 

Construction-to-Operational Assets

Valuation uplifts to assets that have been in construction becoming
operational during the quarter. Specifically, additional US terminal storage
assets and five additional solar PV assets in Brazil, bringing the total to
nine operating assets in the programme.

 

Asset Value Creation

Enhancement of contract terms on the US terminal storage tanks and continued
out‑performance of the Australian solar assets.

 

Foreign Exchange

The weakness of GBP to the basket of currencies within the Company's
portfolio, including the USD, AUD, and BRL, during the quarter.

 

Activity during the quarter

During the quarter, the Company announced:

·    On 1 July 2022, the Company's successful completion of its Placing,
Open Offer, Offer for  Subscription and Intermediaries Offer, raising gross
proceeds of £122 million.

·    The acquisition of the Mascarenhas Hydro Electric Facility (the
"Hydro Asset") in the state of Espírito Santo, Brazil for a total
consideration of BRL 1,225 million, which comprised BRL 800 million on closing
subject to adjustments. The remainder is payable subject to the conditions
established under the process of renewal of the Hydro Asset concession in H1
2027. The transaction closing is subject to customary regulatory approvals.
This run-of-river asset's nameplate capacity is 198MW and has been operational
since 1974.

 

·    The acquisition and build of three fully-permitted solar PV sites for
£21.2 million as part of the existing £50 million commitment to its
Australian solar PV and storage investment programme (the "Australian Energy
Transition Programme"). This relates to Phase III of the Australian energy
transition programme in respect of an initial three new solar PV sites of 5MW
each, located in New South Wales. To date, the total deployment in this
programme is £36.2 million.

 

The factsheet will be available on the Company's website.

 

www.vh-gseo.com

 

The Company's LEI is 213800RFHAOF372UU580.

 

 

For further information, please contact:

 

Edelman Smithfield (PR Adviser)

Ged Brumby                     + 44 (0)7540 412 301

Kanayo Agwunobi           +44 (0)758 101 0560

 

Victory Hill Capital Partners LLP (Investment Adviser)

Navin Chauhan                 info@victory-hill.com

 

Numis (Joint Corporate Broker)

David Benda                       +44 (0)20 7260 1000

Matt Goss

 

Alvarium Securities Limited (Joint Corporate Broker)

Mark Thompson              +44 (0)20 7016 6711

Eddie Nissen                     +44 (0)20 7016 6713

Oliver Kenyon                   +44 (0)20 7016 6704

 

G10 Capital Limited (AIFM)

Mohammed Rahman     + 44 (0)20 7397 5450

Paul Cowland

 

Apex Fund and Corporate Services (UK) Limited (Company Secretary)

Geetika Dayal                    +44 (0)7785 618 873

 

 

About Victory Hill Capital Partners LLP

Victory Hill Capital Partners LLP ("VHCP") is authorised and regulated by the
Financial Conduct authority (FRN 961570).

 

Victory Hill is based in London and was founded in May 2020 by an experienced
team of energy financiers that have spun-out of a large established global
project finance banking group. The team have an established track record built
over six years while working together in their previous roles and
participating in over $37.1bn in sustainable energy project transaction
values, generating over 24.2 per cent. equity returns. In addition, the team
has also participated in more than $200bn in transaction values across 91
conventional and renewable energy-related transactions in over 30
jurisdictions worldwide, throughout their individual careers. The average
experience per individual is 22 years of relevant energy finance experience.

 

The VHCP team deploys its experience across different financial disciplines in
order to assess investments holistically from multiple points of view. The
firm pursues operational stability and well-designed corporate governance to
generate sustainable positive returns for investors. It focuses on supporting
and accelerating the Energy Transition and the attainment of the UN
Sustainable Development Goals.

 

VHCP is a signatory of the United Nations Principles for Responsible Investing
(UN PRI), the United Nations Global Compact (UN GC) and is a formal supporter
of the Financial Stability Board's Task-Force on Climate-related Disclosures
(TFCD).

 

 

END

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  NAVUPGGPGUPPGMW