4th Dec 2019 11:17
(Alliance News) - SDCL Energy Efficiency Income Trust PLC on Wednesday reported a rise in net assets for the first half and said it has tripled in value since its stock market float in December 2018.
In the six months to September 30, net asset value per share rose by 0.6% to 99.0 pence from 98.4p posted on March 31, the conclusion of its full-year.
Shares in the company were up 0.7% at 108.69p in London on Wednesday morning, giving it a market capitalisation of GBP291.7 million.
SDCL, focused on investments in the energy efficiency sector, raised GBP100 million in its IPO.
Chair Tony Roper said: "We have substantially expanded the portfolio both by product and geography in that time. As a result, SEEIT has almost tripled in size since launch and we are excited by the further opportunities available in the energy efficiency market."
The company declared an interim dividend of 2.5p per share and SDCL is targeting a full-year payout of 5.0p. The trust paid a dividend of 1.0p per share in the period from the IPO to March 31.
Looking further ahead, SDCL will look to boost its full-year dividend for financial 2021 to 5.5p.
Since March, the company invested in Supermarket Solar UK, a framework which looks to install and operate solar rooftop projects across properties in the UK occupied by major grocer Tesco PLC.
SDCL said: "The period has seen the portfolio grow through two investments, in a rooftop solar project for the UK's largest retailer and in a diversified portfolio of energy efficiency projects in the USA. After the period end, a portfolio of nine cogeneration projects has been acquired in Spain."
Despite the Tesco solar project investment, the trust expects non-UK investments to "offer the largest source of opportunities".
SDCL explained: "The company will continue to review its investment limitations and guidelines with regards to international and non-GBP based investments. In taking this approach, it will seek to ensure that it is able to take advantage of the opportunity to invest in projects with the best risk-adjusted returns and that appropriate currency hedging strategies are in place."
By Eric Cunha; [email protected]
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