14th Jul 2025 10:21
(Alliance News) - Gore Street Energy Storage Fund PLC on Monday said it has completed the sale of US investment tax credits worth a total of USD84 million, exceeding its prior guidance and paving the way for special dividend payments later this year.
The London-based investor in utility-scale energy storage projects said the sale relates to credits from its newly completed Big Rock project and follows a previously announced transaction involving credits from its Dogfish asset. The combined proceeds, net of insurance costs, mark the fund's final sales of US tax credit entitlements.
Under the terms of the deal, Gore Street will receive the Big Rock proceeds in three tranches: 50% within days, 25% in the autumn, and the remainder by the end of 2025.
The first tranche will be used to reduce the drawn amount on the project's debt facility to USD60 million from USD90 million, as well as fund reserves for final build-out costs, Gore Street said. This is expected to lower gearing and borrowing costs.
Chief Executive Alex O'Cinneide called the USD84 million inflow "substantial" in what remains a tight equity market, and said shareholders would directly benefit through planned special dividends.
Gore Street aims to distribute a total of 3.00 pence per share before year-end, across two instalments of 1.50p each.
"The energy storage sector is undergoing a rapid transformation. The pace of cost declines is now outpacing even what we saw in the solar industry," O'Cinneide added. "[This] creates a compelling opportunity… to generate the most significant long-term value for our investors."
Shares in Gore Street Energy were 3.1% higher at 65.16p in London on Monday morning.
By Eva Castanedo, Alliance News reporter
Comments and questions to [email protected]
Copyright 2025 Alliance News Ltd. All Rights Reserved.
Related Shares:
Gore Street En.