Greencoat Uk Wind Share Discussion Threads

[igoe104] 20/2/2020 09:44

TIDMUKW
RNS Number : 5795D
Greencoat UK Wind PLC
20 February 2020
20 February 2020
Acquisition of Slieve Divena II
Greencoat UK Wind PLC ("UKW" or "the Company") is pleased to announce that it has agreed to acquire Slieve Divena II wind farm from SSE Renewables for a consideration of GBP51 million.
Slieve Divena II is located approximately 10 miles south east of Omagh in County Tyrone, Northern Ireland, and has a capacity of 18.8MW. Slieve Divena II was constructed by SSE Renewables and has been operational since June 2017. The wind farm receives 0.9 ROCs per MWh and has a load factor of 31.3%.
Slieve Divena II is adjacent to UKW's Slieve Divena wind farm, which was acquired by the Company in August 2017, and will also be managed by SSE Renewables. As with Slieve Divena, SSE Airtricity (SSE's retail brand in Northern Ireland) will be the offtaker under a long-term power purchase agreement.
Tim Ingram, Chairman of UKW, commented:
"We are delighted to acquire our eighth wind farm from SSE, which is testament to the longstanding relationship we have developed. Slieve Divena II is a high quality, ROC-accredited asset sitting alongside our Slieve Divena wind farm and is a natural addition to our portfolio of operating UK wind farms, which no w has a net generating capacity of almost 1GW."
The acquisition was funded by UKW's acquisition facility plus reinvestment of portfolio cash of GBP24m. Following the acquisition, UKW's total borrowings will amount to GBP627 million (GBP600m under term debt facilities plus GBP27m under the revolving credit facility), equivalent to 25% of Gross Asset Value (gearing limit 40%).

[stewart64] 31/1/2020 08:25

Nav down again, dividend declared at 7.1p as I anticipated. Forward yield 5.1% at today's price.

hxxps://www.stockmarketwire.com/article/6767460/Greencoat-UK-Wind-targets-2020-dividend-increase-to-7-point-1p-per-share.html

[stewart64] 28/1/2020 13:06

Well the analysis doesn't stack up because he refers to a 20/30 year timeframe. Well that's the lifetime of a turbine anyway. Crikey in 20/ 30 years time I doubt oil extraction will be allowed, where does that leave the valuation of the likes of RDSB.

Seriously is he basing the overvaluation on 20/ 30 years hence, tbf I haven't read the whole thing?

The current forward yield is over 5% 7.1/141....so even on depreciating assets it compares favourably with bonds.

[bothdavis] 28/1/2020 09:48

I always considered these a proxy to 'utilities' as they take over or are taken over the electricity generation of the country?

[bothdavis] 28/1/2020 09:46

Thanks nerja....Bloody Americans!!

Hopefully its 'fake news'!!

[nerja] 28/1/2020 09:05

Update) Investors in London’s expensive listed renewable energy funds are at a risk of a 43% share price fall and a 33% drop in asset values due to the slide in long-term power forecasts, JPMorgan Cazenove has warned.

Strong investor demand for their reliable dividends and environmentally friendliness has pushed shares in London’s six wind and solar power investment companies to an average 16% premium above their underlying net asset values (NAV).

But UK investment companies analyst Christopher Brown said the double-digit premiums of companies in the £9bn renewables sector were unsustainable in face of mounting evidence that growth in carbon-free energy would slash the cost of electricity in the next 20-30 years.

While that's good news for consumers and the planet, it is bad news for funds generating most of their revenues from selling electricity into the wholesale market, said Brown and fellow analyst Adam Kelly.

Using the latest figures from Bloomberg New Energy Finance, an independent forecaster owned by financial media giant Bloomberg, the analysts believed the NAVs of Bluefield Solar Income (BSIF), Foresight Solar (FSFL), Greencoat UK Wind (UKW), JLEN Environmental Assets (JLEN), NextEnergy Solar (NESF) and Renewables Infrastructure Group (TRIG) could drop by a third on average.


And because of their elevated share prices – trading at premiums of between 12% and 23% - that could translate into a 43% fall in their stocks, they said.

[bothdavis] 28/1/2020 09:02

Ca you post an overview please Nerja, seems a little disconcerting to me - my biggest holding....DUH!

[nerja] 28/1/2020 08:25

Renewable funds could plunge 40% on ‘cannibalisation’ threat, say JPM analysts

hxxps://citywire.co.uk/investment-trust-insider/news/renewable-funds-could-plunge-40-on-cannibalisation-threat-say-jpm-analysts/a1317406?ref=investment-trust-insider-latest-news-list

[woodhawk] 21/1/2020 13:36

Decided to have a little dabble here to offset my BP and RDSB holdings.

[stewart64] 20/1/2020 09:06

That's my purchase gone through at 8:59. Now watch them launch a sub IPO at 140. Still it's 8p off the year high and a forthcoming dividend will hopefully cushion things a bit.

[zero the hero] 29/10/2019 07:25

Nav slightly down on one RNS and Tim resigning on another. Could weigh on the share price for a bit. Still remains above this time last year though.

[igoe104] 16/10/2019 17:02

Good to see you here malcolm, these are in a strong growth sector, so these should keep steadily rising. Divi not bad either.

[malcolm40] 16/10/2019 16:56

Bought some and up they go! Good.

[igoe104] 11/10/2019 07:33

Acquisition of Glen Kyllachy Wind Farm

Greencoat UK Wind PLC ("UKW") is pleased to announce that it has entered into an agreement to acquire the Glen Kyllachy wind farm from Innogy Renewables UK Limited ("Innogy") for a headline consideration of £57.5 million, to be paid on completion. Construction of the wind farm is ready to commence, with the transaction targeted to complete in October 2021, once the wind farm is fully operational.

Glen Kyllachy is a 48.5MW subsidy free project located in the Highlands, 11 miles south of Inverness and close to UKW's Stronelairg, Dunmaglass, Corriegarth and Tom nan Clach investments. Innogy will manage the construction of the wind farm, with first export of electricity targeted in July 2021 and full operations in October 2021.

Tim Ingram, Chairman of UKW, commented: "We are pleased to add Glen Kyllachy to the UKW portfolio. Together with the recent acquisition of Douglas West, this brings our commitments to subsidy free wind farms to just over £100 million, complementing our recent £145 million investment in Tom nan Clach, with its fixed price CFD revenues, and our £2.3bn ROC portfolio. We are delighted to partner again with Innogy, who have the expertise and resources to deliver a high quality operational wind farm.

[11_percent] 31/8/2019 09:13

Ok, cheers.

PMG (oil company) have bought some land, with the potential to build a wind farm on it....or so they say.

So, it could be right.

[tcuc3e] 31/8/2019 02:06

I'm pretty sure it's the opposite. Govt looking at building MORE turbines onshore rather than fewer. They announced they would be building turbines on Scottish islands which some have seen as attempting to loosen the onshore regs.

[11_percent] 30/8/2019 19:51

Hi guys, I am after some info.

Is it the case that you can no longer get planning permission for onshore wind turbines in Scotland.

Cheers.

[growthpotential] 13/8/2019 00:33

I'm gradually increasing positions in UKW and RDSB. BlackRock sustainable energy also good too

[asmodeus] 04/8/2019 17:06

Thanks 8w. I live on income, too, and so am ignoring Questor.

[8w] 02/8/2019 20:12

Political risk, unlikely in the next few years, in any case renewables not going to first into the firing line even if we do get a Labour govt.

High premiums, yes. If you are a trader you may wish to take a profit and find an potentially undervalued share. Personally find that too time consuming, will stick with them for income,

[asmodeus] 02/8/2019 11:41

Richard Evans in yesterday's "Questor" columns in The Telegraph, stated that he will be selling this fund and also GCP infrastructure, and John Laing Environmental, mainly, it seems, because "they are on high premiums, and "increasingly exposed to political risk". I have all these two funds precisely because they are invested in renewable energy, and it is the carbon-producing providers that are exposed to that risk. What do others think?

[stewart64] 05/6/2019 07:57

100% allocation and ready to trade on HL re ipo.

[stewart64] 01/6/2019 11:15

Still not sure whether the allocation of the ipo will be in full. It's telling the press release did not use the word oversubscription. Looking back at all other ipo press releases from both Trig and Greencoat the oversubscription word is pretty much a given if it is. Will find out soon.

[stewart64] 30/5/2019 20:41

I believe some one did mention Trig had followed suit with the asset life extension( can't be sure), but obviously wind makes up a fraction of their portfolio.

[apollocreed1] 30/5/2019 19:17

Am I correct in thinking that TRIG didn't extend the life of its wind assets, whereas UKW has done so. So if TRIG would do the same their premium would be much less, or the other side of the coin is that UKW have flattered the high premium upon which they trade by raising their NAV through this extension of the life of their assets.