Helen Mahy, RES chairman Gavin McAlpine and Scottish minister Ivan McKee at the Broxburn Energy Storage facility in 2018. Image: RES.

The Renewables Infrastructure Group (TRIG) has raised £120 million, which is set to go towards its revolving credit facility (RCF).

The company has issued 100 million new ordinary shares following “careful consideration” of its funding requirement and acquisition pipeline.

The net proceeds of the Issue are to be used to repay amounts drawn under its revolving credit facility, which is now expected to be fully repaid with surplus cash of c.£70 million by September 2020, allowing for the expected receipts from the partial sell down of German offshore wind farm Merkur and the sale of Swedish wind farm Erstrask Phase 1 in Q3.

The balance is to be deployed in the acquisition of further investments, as well as to fund TRIG’s commitments to construction projects of £35 million, which is due during 2020 and 2021.

TRIG expects the ordinary shares to be admitted to the premium segment of the Official List of the FCA and to trading on the Main Market of the London Stock Exchange on 26 May.

Helen Mahy CBE, chairman of TRIG, said: “We are delighted with the strong support shown by our investors, and that the Company's stock remains in such high demand in these challenging times.

“We believe this is an endorsement of TRIG's careful management and acquisition discipline, and the stability of the returns being generated from our diversified portfolio, with a large proportion of revenues coming from contracted sources.”

In February, the company announced strong financial results, highlighting a 50% increase in its portfolio in 2019, which generated 3,036GWh of electricity in the year. The company confirmed it was increasing its focus on battery storage, having historically been involved in wind and solar assets. Currently, it owns the 20MW Broxburn Energy Storage facility, which was built by RES and was celebrated as Scotland's first utility-scale battery storage asset.

RES is one of TRIG's company managers, alongside InfraRed, with Investec Bank and Liberum Capital acting as joint bookrunners for the latest Issue.

In April, TRIG reduced its NAV in response to reduced power price forecasts, stating it could see a reduction in NAV per share of approximately 5p.