Greencoat Uk Wind Share Discussion Threads

[uncle_sam] 10/11/2021 13:12

They seem to be trying too hard.

[marktime1231] 10/11/2021 11:51

Good point 135p includes the dividend which goes ex tomorrow, so we might settle back to 132-133p. Still content to add at 132p when the price has been >140p three times in the last year and the last analyst note was a frothy 160p. If I choose to trade it could be a pretty quick return, if not the future yield very welcome.

[mushypeas] 09/11/2021 18:16

Except that the new shares do not qualify for the next dividend. i.e. the comparitive price should be 135 - 1.795p.

[rustle2] 09/11/2021 16:24

The downside is potentially tying up cash for 2 weeks before refunding from scale back and having the free cash to start with.

[marktime1231] 09/11/2021 16:17

I have applied for a few excess shares from UKW subject to scaling, in addition to the 1-for-13 subscription shares which I am hoping will be allocated in full. Somewhat confused by the sequence of messages and elections, hopefully the broker will sort this out, all within my SIPP wrapper.

Why would you not bid for shares at 132p when the market thinks they are worth at least 135p, probably 140+p and maybe 160p in the near term? The worst that can happen is you might have to enjoy the 5.4% yield while waiting to offload for a quick tax free gain.

[dr biotech] 07/11/2021 13:06

I’ve not used it yet. I’m certainly hoping for a short term gain on procook but for this it’s a longer term hold. I see it as similar to a green bond. But allowing retail investors access must also be a good thing, even if it adds churn.

Not being allowed in an ISA/sip is a pain, given I have 98% in those.

[jimmywilson612] 07/11/2021 12:45

Anyone know if we can partake via HL? No news from my accounts just yet - just wondering if I need to use Primary Bid?

[hiddendepths] 07/11/2021 11:46

I hate PrimaryBid. It sucks in a lot of traders after a quick turn and this often results in the share price getting stuck around the issue price, or in some cases below, for weeks.Also useless if your investing funds are in an ISA and/or SIPP.

[dr biotech] 07/11/2021 11:33

You can apply for these via primary bid. It’s an app I’ve recently downloaded that allows retail investors access to some placings and ipo’s that they otherwise wouldn’t be. I’m thinking about this, and procook’s ipo.

Seems to be a lot of trusts asking for new money, and some other things that haven’t really grabbed my interest so far.

[bountyhunter] 04/11/2021 18:27

It's the 4th today, but the 11th will be fine, thanks for the correction :)

1.795p/shr

[carterit] 04/11/2021 18:02

xd actually on 11th nov,not 4th.

[bountyhunter] 04/11/2021 16:08

XD tomorrow

[marktime1231] 03/11/2021 17:44

That's a shame

[alexisk] 03/11/2021 17:06

marktime:

I think you will find that there are no free shares being offered.
Any shares you buy -- including the 1 for every 13 already held that you will definitely be able to buy -- will cost 132p each.

[marktime1231] 03/11/2021 16:26

Yes had mine too now. We get a free 1-for-13 and can bid for more at 1.32, which I suspect will be over-subscribed. Worth bidding for a few then.

[woodhawk] 03/11/2021 15:37

Had my advice of offer from one of my platforms, IG Index, today.

[rogerrail] 03/11/2021 15:33

Preliminary notice of "corporate action" event relating to open offer has been issued today on A J Bell/ secure messages.

[income investor] 03/11/2021 14:55

Open offer is available to all shareholders, including retail ones. Your platform provider should contact you to ask if you want to take this up - although probably won't contact you until next week!

[marktime1231] 03/11/2021 11:18

It is a confusingly written statement but yes UKW will retain 15.7%.

Does anyone know how to participate in the open offer of shares at 132p, or is that not something for retail investors?

[rambutan2] 03/11/2021 01:53

marktime, I assume they mean that Greencoat Capital is acquiring the 25% stake, with 15.7% being taken by UKW, for £250m, and the balance going to Greencoat Renewable Inc LP for a pro rata amount.

"Greencoat UK Wind plc (the "Company" or "UKW"), the leading listed renewable infrastructure fund, invested in UK wind farms, is pleased to announce that it has agreed to acquire a 25% stake in Burbo Bank Extension offshore wind farm from AIP, in partnership with a number of pension funds investing through Greencoat Renewable Income LP, a fund also managed by Greencoat Capital. UKW will acquire a net 15.7% stake in the wind farm for a total cash consideration (including cash and working capital) of GBP250 million (the "Acquisition"). The Acquisition is scheduled to complete on 30 November 2021."

[marktime1231] 02/11/2021 18:54

Thank you gents. Despite calculating this in the way you set out I managed to get the wrong income number, I blame a duff battery in my 1990's Casio FX desk calacatibrator.

The correct income number is indeed more like £27M pa, which means this does look like a good investment, maybe a great one if post 2032 energy prices > £175.

Still not sure how you can buy a 25% stake in a wind farm for "net" 15.7% of the proceeds, does that mean our £27M pa income is net of operating and maintenance etc? Still need to deduct financing costs and ... ? Anyhow, it looks good enough to service a progressive dividend.

[marktime1231] 02/11/2021 09:17

Puzzled by today's announcement. Not that they have gone for a £200M fund raise issue at 132p which is a slight premium to NAV while the share price is riding high, good idea.

The problem I have is that they are paying their own parent Greencoat Capital a staggering £250M for a stake in a mature 248MW wind farm Burbo Bank Extension off Liverpool. The stake is either 25% or 15.7% "net" eh? And based on it being on a fixed CFD tariff of £176/MWh by my sums they can expect an annual income of around £4.7M pa until 2032.

The investment case looks dreadful.

Why are they buying mature capacity eg expensive as opposed to investing at an earlier stage in new developments, and why are they paying such a high price for the asset? And how can you be buying 25% of a wind farm but only 15.7% "net"?