Greencoat Renewables Raise €270 Million Through Irish IPO
Greencoat Renewables, an Irish renewable energy company, has raised €270 million through its initial public offering (IPO) on the Irish Stock Exchange’s (ISE) Enterprise Securities Market (ESM).
Greencoat Renewables is the first renewable energy infrastructure company to list on the Irish Stock Exchange, and the first Euro denominated renewable energy infrastructure company to list on the London Stock Exchange.
Following heavy demand during the book-building process, Greencoat Renewables increased the issue to a total of €270 million of 270 million new ordinary shares at €1.00 each.
Following the success of the renewable infrastructure sector in the UK, the Company sees significant opportunities for near term growth and consolidation in the Irish wind generation market, and to acquire additional assets using, it is expected, a revolving credit facility and then returning to the equity markets in due course to refinance with further issuances.
Paul O’Donnell, Partner of Greencoat Capital, the Investment Manager, said:“We are delighted to have successfully concluded the Company’s first equity offering, and look forward to delivering risk adjusted returns to our investors. Matching this returns profile we have a fantastic register of blue-chip, long-term shareholders and would particularly like to thank ISIF and AIB for their support.
The listing provides us with the platform to build upon our initial portfolio of operational wind farms, with a substantial pipeline of future acquisition opportunities in the Irish market. There is 4.3GW of onshore wind expected to be in operation in Ireland by 2020, and we believe that Greencoat Renewables is very well placed to generate attractive returns for Shareholders for the long-term".
Austin Coughlan, Senior Investment Manager, Ireland Strategic Investment Fund said: “The Ireland Strategic Investment Fund, as a €76m cornerstone investor is delighted to have enabled the establishment of Greencoat Renewables PLC, Ireland’s first listed renewable energy infrastructure company. As we estimate Ireland’s transition to a low carbon economy will require in excess of €40 billon of new capital investment by 2050, ISIF are committed to backing initiatives such as Greencoat Renewables PLC that have the ability to draw significant private investment into the Irish renewable energy sector."
Colin Hunt, Managing Director of AIB Wholesale Institutional & Corporate Banking, said: “AIB is delighted to be backing the successful flotation of Greencoat Renewables PLC and we wish the Company the very best. We are committed to deploying our capital and our expertise in supporting the green energy sector and developing key partnerships that will enable Ireland meet its renewable energy targets. AIB’s €15 million subscription for shares in Greencoat Renewables clearly demonstrates our appetite to invest and to support this strategically important sector."