5th Feb 2015 16:19
LONDON (Alliance News) - The UK government Thursday said it raised GBP51.2 million after selling its entire stake in Greencoat UK Wind PLC, saying it was an appropriate time to sell given that the renewable energy infrastructure private sector was now firmly established.
The government confirmed it sold 50 million shares at a price of 103.5 pence per share, raising a total of GBP51.2 million for the treasury, and said it no longer holds any shares in Greencoat.
Earlier, Barclays PLC had said the Department for Business, Innovation and Skills would place at least 40 million Greencoat shares at between 103 and 105 pence a share through an accelerated bookbuild, meaning the sale would be done quickly with little or no marketing.
Barclays and RBC Capital Markets acted as joint bookrunners on the share sale, with Winterflood Securities Ltd also working on the deal.
"The department invested in the launch of Greencoat UK Wind in March 2013 to help establish a new market for operational renewable energy assets. We wanted to allow developers to recycle their capital into new renewable construction projects and to help grow this important sector. This sector is now well-established, with six listed renewables infrastructure funds worth more than GBP1.7 billion, and so it is an appropriate time to reduce the department's shareholding," Business Secretary Vince Cable said in a statement.
Greencoat shares were down 1.4% to 104.75 pence per share on Thursday afternoon.
By Steve McGrath; [email protected]; @stevemcgrath1
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