Greencoat Renewables agrees to acquire 105 MW wind projects in Ireland from Coillte

Greencoat Renewables PLC has agreed to acquire the majority of Coillte's shareholdings in its portfolio of operating wind generation assets, for a total consideration of €136.1 million. The portfolio of four windfarms comes with long term fixed rate project finance and has an overall net enterprise value of €281 million.

Greencoat Renewables will acquire the entirety of Coillte's 50% stakes in Raheenleagh, Cloosh Valley, and Castlepook wind farms; and acquire a 25% stake in Sliabh Bawn wind farm with Coillte retaining 25% ownership. The investments total a net generating capacity of 105.1MW, taking Greencoat Renewables' total installed capacity to 299MW.

Coillte's portfolio was co-developed with SSE, ESB and Bord Na Mona, who each remain joint venture partners in their respective wind farms and retain certain rights in relation to the transaction. The assets are of very high quality with high load factors, experienced utility operators, and managed under a suite of long-term contracts. The assets also benefit from 13+ years of fixed-floor power prices under REFIT 2, and options to extend the land leases to 50 years.

Greencoat Renewables' investment manager, Greencoat Capital, has a long track-record of partnerships with SSE and ESB. In line with its strategy, the sale allows Coillte to recycle capital, and continue to develop its extensive pipeline of over 25 projects, and 1GW of wind capacity in Ireland.

The acquisition, which is expected to complete by November 2018, will be funded by Greencoat Renewables' existing Revolving Credit Facility.