SSE sells another slice of giant Clyde wind farm to rival generators for £68 million

Turbines being delivered for installation at Clyde wind farm extension.
Turbines being delivered for installation at Clyde wind farm extension.

Perth-based utility giant SSE has sold another slice of one of its Scottish wind farms to rival generators for £67.8 million.

In March this year, SSE announced the initial sale of its Clyde wind turbine parc equating to 49.9% of the existing 349.6MW operational wind farm. 

The Clyde windfarm is located in South Lanarkshire and the original wind farm has a combined generating capacity of 349.6 MW from 152 Siemens 2.3MW turbines.

The Clyde Extension consists of 54 German-built 3.2 MW turbines with a total capacity of 172.8 MW.

At the time, it was highlighted that when the commercial operation (which will occur shortly) of the 172.8MW extension began, the equity stake in Clyde jointly owned by Greencoat Wind plc and GLIL Infrastructure Ltd LP would be diluted to 30% with SSE retaining 70%. 

In the latest sale, on dilution, Greencoat and GLIL have acquired an additional 5% of Clyde, equating to 26.1MW, for a cash consideration of £67.8 million – taking their share of the total Clyde development to 35%

Greencoat and GLIL have the option to buy a further 14.9% of Clyde, equating to 77.8MW, for £202.2 million in the period from 1 April to 30 June 2018. 

If this option were to be exercised, SSE’s share in Clyde would reduce to 50.1% with Greencoat and GLIL owning the remaining 49.9%.  

This transaction implies a combined valuation of the two wind farms of £2.6 million per MW.

An SSE spokesman explained: “Both the original Clyde wind farm and the recent extension are complex projects, requiring major investment and a great deal of effort to deliver.

“The sale of a further stake in Clyde is a natural step in our partnership with Greencoat and GLIL and our commitment to recycle capital where we can see value for SSE.”

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