Bluefield Solar says that, at the end of December 2016, its NAV had increased to 105.07 pps (30 June 2016: 99.39 pps). The WACC used to calculate the NAV was unchanged from December 2015 and June 2016 at 6.6%.
They delivered underlying earnings of GBP11.7 million in the period. This enabled a fully covered first interim dividend of 3.25 pps to be paid in November 2016 in addition to fully covering debt service including both interest and principal repayment.
The equity cash flows upon which the NAV is calculated imply a return on equity over the 25 year life of the cash flows of 8.3%, with zero terminal value. This attractive return has been enhanced by the Company’s success in securing long term, fully amortising debt at a blended cost of 2.1%, based on RPI as at 31st December 2016.
In September 2016, the Company announced a long term financing agreement with Aviva Investors. The GBP187 million facility is fully amortising over 18 years and has two tranches: GBP121.5 million is fixed at a cost of 2.875% and GBP65.5 million has a cost of 0.70% + RPI.
An oversubscribed placement of new shares in October 2016, raised gross proceeds of GBP60.6 million.
The Company completed 6 acquisitions amounting to 23.1MWp, taking the Company’s total capacity to 424.3MWp.
Portfolio energy generation outperformed by 4.6% ahead of budgeted expectations delivering 185.1GWh versus budget of 176.9GWh.
BSIF : Bluefield Solar NAV up to 105p