The UK government will today kick off the privatisation of the Green Investment Bank.
London is to publish a report to parliament on Thursday setting out the planned sales process which will involve the sale of existing state shares and the committing of additional capital by new investors.
GIB has sunk £2.6bn of capital into almost 70 green infrastructure projects across the UK since its launch almost three years ago.
The investment outfit offers portfolio-wide returns of over 10% with a healthy cash flow.
London has committed to protecting its ‘green’ agenda during the sale with the government to take into account investor intentions in any bids.
Speaking at the Lord Mayor’s Trade and Industry dinner at Mansion House, Business Secretary Sajid Javid, said: “The Green Investment Bank was a world first, and it is a sign of its success that the idea is being copied across the world. Having proven the business model works, we now want to make an even greater impact.
“The challenge presented by climate change is clear – it is imperative we mobilise more funding for green energy projects. The special share structure protects the bank’s green mission meaning The Green Investment Bank will continue to do exactly what it says on the tin.”
GIB chief executive Shaun Kingsbury (pictured) said: “In three years the team at GIB have built a special business that is green, profitable and admired around the world.
“GIB is an exciting investment opportunity, providing new investors with predictable returns and significant growth opportunities. The business is perfectly placed to play a leading role as the world moves decisively towards an unprecedented programme of green infrastructure investment.”
Image: GIB
