25th Nov 2021 10:50
(Alliance News) - Greencoat UK Wind PLC on Thursday said it has raised GBP450 million via a placing and tap issue.
The London-based energy assets manager said that investor demand for the issue "significantly exceeded" the maximum size of GBP396 million.
"The board, after careful consideration with the investment manager and the joint global co-ordinators, has determined to utilise part of its annual pre-emption disapplication authority to satisfy GBP54 million of the excess demand on equivalent terms to the placing," it said.
This brought the total size of the issue to GBP450 million.
The net proceeds from the issue will be used to fund the GBP250 million investment in the Burbo Bank extension offshore wind farm and partially repay the company's facility agreement which is currently GBP350 million drawn.
In early November, the company agreed to acquire a 25% stake in Burbo Bank extension offshore wind farm from AIP.
Burbo Bank extension is located four miles north of the Wirral in North West England. It was commissioned in July 2017, and comprises 32 Vestas V164 8.13 megawatts turbines and has a grid capacity of 258 megawatts.
The acquisition will be completed in partnership with a number of pension funds investing through Greencoat Renewable Income LP, a fund also managed by Greencoat Capital.
Greencoat UK Wind said it will acquire a net 15.7% stake in the wind farm for GBP250 million. The acquisition is scheduled to complete on November 30.
Greencoat UK Wind shares were up 0.8% to 133.79 pence each in London on Thursday morning.
By Greg Roxburgh; [email protected]
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