The Renewables Infrastructure Group Limited - Acquisition of Tille et Venelle wind farm
|Category||Infrastructure / France|
InfraRed Capital Partners Limited
The Board of TRIG is pleased to announce that the Company has acquired a 100% interest in the Tille et Venelle wind farm (“the Project”), a 40MW onshore wind farm project currently in construction in Burgundy, France. The Project was acquired from Envision Energy, a leading turbine manufacturer and developer head-quartered in China. TRIG has invested c. €30.0m, including construction cost and net of project level and secured a €52m project-level debt financing.
Tille et Venelle was developed by Velocita Energies, a Paris-based Envision Group company, which is currently managing the construction of the windfarm with oversight from RES. The Project is due to become operational during Q1 2020 and will comprise 16 Envision EN-131 turbines with a capacity of 2.5MW each.
Despite a significant market share in China, this is the first time that Envision turbines are imported and erected in Europe. Construction is already well underway, with the first dedicated turbines now exiting the production lines (see pictures below). A thorough technical due diligence has covered areas such as technology, supply chain, import, and certification risks.
The project benefits from a 15-year subsidy in the form of an inflation linked Contract for Difference with the utility company EDF which fixes the price to be paid for the power. As a result, the Project has no power price risk for the duration of the subsidy term.
The Renewables Infrastructure Group Limited (TRIG)
The Renewables Infrastructure Group ("TRIG" or the "Company") is a leading London-listed renewable energy infrastructure investment company. The Company seeks to provide shareholders with an attractive long-term, income-based return with a positive correlation to inflation by focusing on strong cash generation across a diversified portfolio of predominantly operating projects. TRIG is targeting an aggregate dividend of 6.64 pence per Ordinary Share for the year to 31 December 2019.
TRIG is invested in a portfolio of 64 wind, solar and battery storage projects in the UK, France, the Republic of Ireland and Sweden including the acquisition announced today, with aggregate net generating capacity of 1,363MW. TRIG is seeking further suitable investment opportunities which fit its stated Investment Policy.
Further details can be found on TRIG's website at www.trig-ltd.com.
InfraRed Capital Partners Limited (InfraRed)
TRIG’s Investment Manager is InfraRed, which has successfully invested in over 200 infrastructure projects since 1997. InfraRed is a leading global investment manager focused on infrastructure and real estate. It operates worldwide from offices in London, Hong Kong, New York, Seoul and Sydney. With around 130 professionals it manages in excess of USD 10bn of equity capital in multiple private and listed funds, primarily for institutional investors across the globe. InfraRed is authorised and regulated in the UK by the Financial Conduct Authority.
The infrastructure investment team at InfraRed consists of c. 80 investment professionals with an infrastructure investment background and a broad range of relevant skills, including private equity, structured finance, construction, renewable energy and facilities management.
InfraRed implements best-in-class practices to underpin asset management and investment decisions, promotes ethical behaviour and has established community engagement initiatives to support good causes in the wider community. InfraRed is a signatory of the Principles of Responsible Investment.
Further details can be found on InfraRed’s website, www.ircp.com.
TRIG's Operations Manager is RES (Renewable Energy Systems Limited), the world's largest independent renewable energy company.
RES has been at the forefront of wind energy development for over 35 years, with the expertise to develop, engineer, construct, finance and operate projects around the globe. RES has developed or constructed onshore and offshore wind, solar, energy storage and transmission projects totalling more than 16GW in capacity. RES' operational asset portfolio exceeds 3.5GW worldwide for a large client base. Headquartered in Hertfordshire, UK, RES is active in 10 countries and has over 2,000 employees engaged in renewables globally.
RES is an expert at optimising energy yields, with a strong focus on safety and sustainability. Further details can be found on the website at www.res-group.com.