The Board of Greencoat UKW Wind PLC ("UKW"), is pleased to
announce that it has entered into an agreement to acquire Screggagh
Wind Farm for a total consideration of c. £27 million.
The acquisition, which is expected to complete on 30 June
2016, will include the prepayment of existing project finance
indebtedness and will be funded by UKW's revolving credit facility
(£20 million) and UKW's cash resources (c. £7 million).
Screggagh Wind Farm is located in County Tyrone, Northern
Ireland and has a capacity of 20 MW and a forecast net load factor
of 28.2%. Screggagh was commissioned in May 2011 and receives
1 ROC per MWh.
In addition to announcing this acquisition, UKW notes the
result of Thursday's referendum on membership of the European
Union. In summary, UKW does not expect any material change to
its business as a result of the UK exiting the EU. Being
solely UK focused and deliberately low-risk, all of the company's
assets and liabilities are inside the UK and sterling denominated.
In addition, the regulatory regime under which the assets
operate is robust, longstanding and rooted in UK legislation.
Tim Ingram, Chairman, said: "We are delighted to announce the
acquisition of Screggagh Wind Farm. Our structure and
financing enable us to investigate a wide range of deal sizes from
all vendors in the market, allowing us to select only the most
value accretive assets."
Following completion, UKW's total outstanding debt is expected
to be c. 28% of Gross Asset Value (leverage limit 40%).