A private investment fund soon to launch on the London Stock Exchange hopes to raise at least £205m (€238m) in order to purchase on and offshore wind assets, including an almost 25% stake in RWE's Rhyl Flats offshore wind farm. Announced simultaneously, another quarter share in 90MW Rhyl Flats is to be purchased by the UK's new Green Investment Bank (GIB).
Intention to launch an intial public offering (IPO) designed to raise the more than £200m was announced today by Greencoat UK Wind. Up to £93m has already been earmarked for the new by the UK government (£50m) and utility SSE (£43m).
Greencoat UK Wind's first investments are to be the purchase of 24.95% of RWE's 90MW Rhyl Flats offshore wind farm as well as 79.5MW of SSE's onshore wind portfolio. SSE will then reinvest up to £43m of the money it receives from the sale into Greencoat UK Wind's IPO.
Meanwhile, GIB will buy a 25% stake in Rhyl Flats, subject to regulatory approval. “We can confirm GIB's intention to invest alongside Greencoat UK Wind in Rhyl Flats,” a GIB spokesperson told Windpower Offshore. The new bank has already committed £45m to the refinancing of Walney offshore wind farm.
Both RWE and SSE have agreed to sell existing wind capacity as part of their efforts to finance construction of further wind energy projects.
Greencoat UK Wind is owned by Greencoat Capital, an investment company focused on the clean-tech market. In turn, Greencoat Capital has a strong history of links with Ireland's leading energy utility, ESB, which is a significant player in the Irish and UK onshore wind industry.