Taking account of the quality of the acquisition pipeline in North America and continental Europe, SDCL Energy Efficiency Income (SEIT)’s board looks set to seek shareholder approval to remove the 25% minimum exposure limit to UK-based assets, which was adopted at the time of its IPO in December 2018. SEIT says the removal of the limit would provide additional flexibility when sourcing and investing in assets and that its exposure to UK based assets may increase or decrease from time to time.
Following its acquisition of the IPO seed portfolio in December 2018, SEEIT has made five further portfolio acquisitions including the latest $110m investment in a portfolio of assets in the United States, which was completed on 5th February (we covered this here).
SEIT’s investment business is focused on clean energy and energy efficiency project finance. The funds invest in energy efficiency retrofit projects and seek a return based on savings achieved. This generates ongoing operational cost savings and carbon emission reductions as well as improvements to productivity and asset values, in compliance with current and prospective building regulations.
Examples of the projects in the portfolio include combined cooling/heating and power plants, as well as energy efficiency projects in the UK and the US. Since acquisition of its seed portfolio at IPO, the company has announced investment in a diversified portfolio of energy efficiency assets, including a portfolio of rooftop solar photovoltaic projects for Tesco in the UK and a portfolio of cogeneration assets in north east United States, which were identified as pipeline projects in its IPO prospectus, as well as an additional investment in a portfolio of energy efficiency loans in the United States, a portfolio of cogeneration assets in Spain and a portfolio of recycled energy and cogeneration projects in the United States.
SEIT: SDCL Energy Efficiency Income to seek approval to remove 25% UK minimum exposure