Greencoat Renewables has announced that it has acquired two windfarms, Monaincha and Garranereagh, for €88m. The seller is BlackRock Real Assets and the purchase is being funded by Greencoat renewables revolving credit facility of €380m. The transaction is expected to close by the end of December 2018 and the two farms combined have a 45.2MW capacity. Bertrand Gautier, Partner at Greencoat Capital, says that both assets are high quality, benefit from high load factors, and a long REFIT life extending to the end of the 2020s.
Monaincha wind farm
Monaincha wind farm is located in County Tipperary. It consists of 15 Nordex N117 turbines with a total capacity of 36MW. It was commissioned in September 2014 and benefits from the REFIT 2 tariff until September 2029.
Garranereagh wind farm
Garranereagh wind farm is located in County Cork. It consists of 4 Enercon E82 turbines with a total capacity of 9.2MW. It was commissioned in September 2013 and benefits from the REFIT 1 tariff until December 2027.
About Greencoat Renewables
Greencoat Renewables describes itself as, “The Irish renewable infrastructure investment company”. It is an owner and operator of renewable infrastructure energy assets and is invested in wind farms in the Republic of Ireland. The company is listed on the ESM market of the Irish Stock Exchange and the AIM market of the London Stock Exchange – under the ticker GRP. It is managed by Greencoat Capital.
The company aims to provide a progressive dividend (6c on the issue price of €1.00), whilst preserving the portfolio’s capital value through reinvestment of excess cashflow and the prudent use of leverage.
Ireland has an EU obligation to ensure that 16 per cent of primary energy use is derived from renewable sources, expected to be largely from onshore wind, by 2020. Since 1995, Ireland has provided owners of operating wind farms with a supportive regulatory framework. Irish wind farms benefit from a 15 year inflation linked floor price under the REFIT regime, while allowing wind farms to capture prices above the floor.