SDCL Energy Efficiency Income Tst Investment in Portfolio Company (8996O)
06 Ottobre 2023 - 8:00AM
UK Regulatory
TIDMSEIT
RNS Number : 8996O
SDCL Energy Efficiency Income Tst
06 October 2023
6 October 2023
SDCL Energy Efficiency Income Trust plc
("SEEIT" or the "Company")
Investment in Portfolio Company
SEEIT is pleased to announce that it has acquired the
outstanding balance of loan facilities secured against an
operational portfolio of LED lighting projects in the USA held by
Future Energy Solutions Lighting Holdings ("FES"), a SEEIT
portfolio company.
The loan was acquired for approximately $31 million (GBP25
million) and provides SEEIT with the entirety of the economic
interest in a fully contracted portfolio comprising 1,500+
contracts with remaining tenors of up to 13.5 years. The Company
was presented with this exclusive opportunity because of its equity
interests in FES. The investment creates the potential to realise
operational and financial efficiencies across the FES portfolio,
whilst on a standalone basis it benefits from strong cashflow
yields and is forecast to deliver double digit unlevered returns.
The transaction also secures the Company's access to a customer
base with a strong credit record, offering future incremental
investment and re-contracting opportunities.
LED lighting systems typically produce 100,000+ hours of
illumination and consume up to 90% less energy than traditional
incandescent light bulbs, leading to greatly reduced energy
expenditures for users. The associated environmental benefits
include a significant reduction in CO2 emissions relative to
traditional lighting technology, as well as lower overall waste
thanks to the greater lighting life span of these bulbs.
This investment, together with investments made since 31 March
2023 that substantially related to the organic pipeline, has been
funded from the Company's GBP180 million revolving credit facility
which is currently GBP100 million drawn.
The Board and Investment Manager are actively exploring
opportunities to recycle capital, including through selective
disposals, as well as carefully reviewing the relative and absolute
levels of gearing in the Group. SEEIT's aggregate gearing remains
low relative to its covenants, with the debt primarily sitting at a
project level, where it is non-recourse to the Company, typically
benefitting from hedged interest rates and amortising such that the
debt quantum is naturally reducing over time.
For Further Information
Sustainable Development Capital T: +44 (0) 20 7287 7700
LLP
Jonathan Maxwell
Purvi Sapre
Eugene Kinghorn
Tom Hovanessian
Jefferies International Limited T: +44 (0) 20 7029 8000
Tom Yeadon
Gaudi le Roux
TB Cardew T: +44 (0) 20 7930 0777
Ed Orlebar M: +44 (0) 7738 724 630
Henry Crane E: SEEIT@tbcardew.com
About SEEIT
SDCL Energy Efficiency Income Trust plc is a constituent of the
FTSE 250 index. It was the first UK listed company of its kind to
invest exclusively in the energy efficiency sector. Its projects
are primarily located in North America, the UK and Europe and
include, inter alia, a portfolio of cogeneration assets in Spain, a
portfolio of commercial and industrial solar and storage projects
in the United States, a regulated gas distribution network in
Sweden and a district energy system providing essential and
efficient utility services on one of the largest business parks in
the United States.
The Company aims to deliver shareholders value through its
investment in a diversified portfolio of energy efficiency projects
which are driven by the opportunity to deliver lower cost, cleaner
and more reliable energy solutions to end users of energy.
The Company is targeting an attractive total return for
shareholders of 7-8 per cent. per annum (net of fees and expenses
and by reference to the initial issue price of GBP1.00 per Ordinary
Share), with a stable dividend income, capital preservation and the
opportunity for capital growth. The Company is targeting a dividend
of 6.24p per share in respect of the financial year to 31 March
2024. SEEIT's last published NAV was 101.5p per share as at 31
March 2023.
Past performance cannot be relied on as a guide to future
performance.
Further information can be found on the Company's website at
www.seeitplc.com .
Investment Manager
SEEIT's investment manager is Sustainable Development Capital
LLP ("SDCL"), an investment firm established in 2007, with a proven
track record of investment in energy efficiency and decentralised
generation projects in the UK, Continental Europe, North America
and Asia.
SDCL is headquartered in London and also operates worldwide from
offices in New York, Dublin, Madrid, Hong Kong and Singapore. SDCL
is authorised and regulated in the UK by the Financial Conduct
Authority.
Further information can be found on at www.sdclgroup.com .
About Future Energy Solutions
FES is an innovative global green technology company that
provides funded and capital purchase lighting solutions for large
scale commercial and industrial businesses. The FES service
includes surveying, designing, analysing, procuring, project
managing, installing, and maintaining new energy efficient lighting
systems. Formed in 2009 in the United States, FES has grown into a
family of companies around the globe. The UK office opened in April
2013 and has since installed over 300,000 energy efficient
luminaries across several client portfolios, with an additional
presence in Mainland Europe.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
ACQUVRRROOURRUA
(END) Dow Jones Newswires
October 06, 2023 02:00 ET (06:00 GMT)
Grafico Azioni Sdcl Energy Efficiency I... (LSE:SEIT)
Storico
Da Apr 2024 a Mag 2024
Grafico Azioni Sdcl Energy Efficiency I... (LSE:SEIT)
Storico
Da Mag 2023 a Mag 2024