Greencoat UK Wind adds new windfarms and sees strong pipeline
Greencoat UK Wind on Friday reported continued net cash generation from its portfolio as the business added new assets and said its pipeline of acquisitions remained healthy.
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The wind farm investor's net cash generation for the six month period ended 30 June came in at £67.5m, flat on last year's figure of £67.4m, while it also raised £505.7m through a share issue and acquired three wind farms after investing £611.1m.
Greencoat now owns 35.5% of the 227.7MW Stronelairg and 94MW Dunmaglass wind farms in partnership with SSE (50.1%) and a major UK pension fund (14.4%), after shelling out £452.6m.
It also snapped up a 75% interest in the 39.1MW Tom nan Clach wind farm and completed its acquisition of the 45MW Douglas West wind farm project.
At the end of the first half of the year the fund’s gross asset value stood at £2.4bn, up from £2.3bn at the end of the first quarter, while net asset value stood at £1.9bn, equivalent to 123.2p per share, up from £1.5bn at the end of March.
The company said its pipeline of further acquisitions remains strong and the future appears positive for investment in renewable energy after the UK parliament adopted a net zero emissions target for 2050.
Tim Ingram, chairman of Greencoat UK Wind, said: "I am pleased to report another good first half performance, which reflects the continued delivery of our simple, low risk and proven strategy. The solid performance and cash generative nature of our portfolio has enabled us once more to increase our dividend in line with RPI whilst maintaining strong dividend cover."
Greencoat UK Wind's shares were up 0.50% at 139.90p at 0815 BST.