JLEN Environmental Assets AGM 2022
Proposed changes to the investment policy
The Investment Manager continues to identify a significant pipeline of opportunities, and the Company expects its investment portfolio to continue to predominantly consist of operational infrastructure (with some exposure to construction stage assets), however, there is an observable trend within the environmental infrastructure market of investors partnering with developers to secure future pipeline investments. Accordingly, and having regard to the pipeline of investment opportunities being identified by the Investment Manager, the Board is proposing to allow the Company to invest up to 5 per cent. of net asset value in environmental infrastructure which is in its development phase – where additional steps are required to be completed before construction of such environmental infrastructure can commence (the “Proposed Changes”).
Benefits of the Proposed Changes
The Board and the Investment Manager believe that adopting the Proposed Changes will:
- improve the Company’s competitive position in respect of acquisition opportunities, through engaging with carefully selected partners and seeking secure access to a further pipeline of investment opportunities which may otherwise not be available or which would be subject to a competitive process; and
- allow the Company to make investments at an earlier stage, potentially benefitting from the higher returns available for development phase environmental infrastructure as compared to those brought to the market as ‘shovel ready’ projects.
The Proposed Changes would also permit the Company to invest in environmental infrastructure developers and development funding structures relating to environmental infrastructure, where the rights to invest in or acquire environmental infrastructure often sit, rather than at the level of projects or assets themselves. As such, the Company expects that, in some instances, it would be better placed to secure preferential access to upcoming pipeline were it to own an interest in a relevant developer or development funding structure.
Full details on the background to and reasons for the Proposed Changes, including certain risks associated with the adoption on the Proposed Changes, are set out in the Notice , a copy of which is available on the Company’s website at www.jlen.com.
Proposed changes to the Articles
In addition to the proposed changes to the investment policy, the proposals to be considered at the AGM include the adoption of amended Articles. The sole change reflected in the amended Articles is to approve an amendment to Article 38.2 of the Company’s Articles to confirm the Articles to The Companies (Guernsey) Law, 2008, as amended (the “Law”). Article 38.2 of the Articles currently requires all meetings of the Directors are deemed to have been held in the place where the Chair is present. In 2021, The Companies (Guernsey) Law, 2008 (Miscellaneous Amendments) Ordinance, 2021 provided greater flexibility allowing a company’s memorandum of incorporation (Memorandum), Articles or a resolution of its Board to stipulate where such meeting is deemed to take place (in the absence of which, the meeting will be deemed to be held in the place in which the chairman is present). A copy of the Articles is available from the Company Secretary upon request.
|Date||Number of Sessions||First Session Starts||Last Session Ends|
|Thursday 1st 2022||1||10:00 AM||11:00 AM|