Investment totalling c. GBP 9.9 million
, category: Capital structure
Download PDF(opens in a new tab)20 March 2015
GCP Infrastructure Investments Limited
("GCP" or "the Company")
Investment totalling c. £9.9 million
GCP, the only listed fund focused on investments in UK infrastructure debt, is pleased to announce the completion of a hydro-electric transaction subscribing for loan notes with a term of c.18 years and an aggregate value of c. £9.9 million (the "Notes").
The Notes will be issued by GCP Hydro 1 Limited, a single purpose company, and the proceeds from the issue of the Notes will be used to make two loans secured on a senior basis to finance the construction of two hydro-electric schemes, one 1.9 MW and one 0.9 MW, in Scotland.
Following the commissioning of the plants, all payments of both principal and interest in relation to the Notes are expected to be serviced from income arising under the UK Government's Feed-In Tariff Scheme.
The acquisition of the Notes has been financed from available cash reserves.
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Contact details: |
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Gravis Capital Partners LLP |
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Stephen Ellis |
+44 (0)20 7518 1495 |
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Rollo Wright |
+44 (0)20 7518 1493 |
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Stifel Nicolaus Europe Limited |
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Neil Winward |
+44 (0)20 7710 7600 |
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Mark Bloomfield |
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Tunga Chigovanyika |
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Cenkos Securities plc |
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Dion Di Miceli |
+44 (0)20 7397 1921 |
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Tom Scrivens |
+44 (0)20 7397 1915 |
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Buchanan |
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Charles Ryland |
+44 (0)20 7466 5000 |
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Sophie McNulty |
Notes to Editors
The Company
The Company is a closed-ended London Stock Exchange-listed investment company that seeks to generate returns from senior and subordinated infrastructure debt and related and/or similar assets. The Company is advised by Gravis Capital Partners LLP.
The Projects
The projects will be two medium sized (1.9MW and 0.9MW) run of river Hydropower schemes located in Scotland. They will benefit from payments for the electricity generated under the UK Government's Feed-In Tariff Schemeat a generation tariff of 13.03p per kWh and in addition are able to sell the electricity generated to the market under a separate power purchase agreement.
The Feed-In Tariff Scheme
The Feed-In Tariff scheme was introduced by the UK Government with effect from April 2010 to encourage the use of energy in the UK from renewable sources (including hydropower). The scheme guarantees to electricity producers a fixed price for electricity produced from renewable sources for a term of 20 years, inflating at RPI.
This information is provided by RNS