Foresight Solar Fund has announced the addition of five new solar parks to its portfolio, totalling 53.3MW in capacity.
The assets in question include:
- The 20.7MW Verwood solar farm in Dorset, accredited at 1.4 ROCs;
- The 13.2MW Park Farm project in Leicestershire, accredited at 1.4 ROCs;
- The 9.8MW Coombeshead array in Devon, accredited at 1.4 ROCs;
- The 6.6MW Sawmills solar farm in Devon, accredited at 1.4 ROCs, and;
- The 3MW Yardwall solar farm in Somerset, accredited under FiTs.
The acquisition takes Foresight Solar Fund’s portfolio to 674MW, including three Australia-based assets currently under construction. A fourth, Longreach, was revealed to have issued its initial electricity export to the grid on schedule last month.
The total acquisition cost, including transaction costs and £4.2 million of cash balances, amounts to £36.6 million, paid for using Foresight’s revolving credit facilities provided by Santander Global Corporate Banking. A £10 million extension of the facility has also been agreed.
Foresight’s total outstanding debt now stands at around £276 million, consisting of £181.2 million worth of long-term facilities and £95 million of revolving credit facilities.
The portfolio itself benefits from a long-term, fully amortising debt facility from Macquarie Infrastructure Debt Investment Solutions (MIDIS), the balance of which stands at £31.8 million.
Alex Ohlsson, chairman at Foresight Solar Fund, said the deal was in line with the company’s “prudent growth strategy”.
"This acquisition further demonstrates the Investment Manager’s ability to identify and secure quality investments at attractive valuations. This acquisition will further improve the asset diversification and size of our UK portfolio and we also expect it to enhance the Company’s dividend cover,” he said.
The portfolio of assets also includes a 0.5MW, FiT-accredited onshore wind farm that Foresight intends to hold on a temporary basis until it can be sold separately.