Hungry renewable energy investment trust which owns Highlands wind farm raises £340m for take-over war-chest

Corriegarth wind farm - now owned by the Greencoat renewable energy investment trust
Corriegarth wind farm – now owned by the Greencoat renewable energy investment trust

The Greencoat UK Wind investment trust has raised £340 million after investors scrambled to take part in the first of a series of share placings by the listed renewable energy infrastructure fund.

As a result, Greencoat, which buys British wind farms, will issue 291 million ordinary shares at a price of 117p per share.

This will increase its market value from £870 million to £1.2 billion, making it the largest investment company in its sub-sector, overtaking Renewables Infrastructure Group (TRIG), currently valued at just over £1 billion.

In August, Greencoat paid £180 million in its most recent acquisition to snap-up the Corriegarth Wind Farm on the eastern side of Loch Ness.

Consequently, Greencoat has 24 renewable-energy electricity-generating assets in its portfolio, which collectively provide electricity for more than 550,000 homes.

‘The secondary market remains busy and we will continue to look to leverage our insight and execution expertise to acquire further high quality assets,’ said co-fund manager Stephen Lilley, a partner at Greencoat Capital.

So far this year, there has been a record amount of shares issued by listed renewable energy funds, with a total of £751 million raised (including Greencoat) boosting the sector’s combined market value to over £4 billion.

This figure will grow once the recent £77 million capital raise from Foresight Solar Fund is factored in.

27 Oct 2017

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