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Greencoat UK Wind PLC: Greencoat announces acquisition of Screggagh Wind Farm

28 June, 2016
GREENCOAT UK WIND PLC

 

Greencoat UK Wind announces acquisition of Screggagh Wind Farm

 

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%).