Greencoat Renewables has agreed to acquire an additional 22.5% stake in the 288MW Butendiek offshore wind farm in the German North Sea from an affiliate of Siemens Pension Trust.
The transaction consideration for the stake is around €168m. Greencoat Renewables expects to make the acquisition together with additional funds managed by Schroders Greencoat, with Greencoat Renewables’ total investment expected to be €122m (72% of the 22.5% acquired stake).
Greencoat Renewables originally acquired an initial 22.5% stake in Butendiek from Marguerite Pantheon in February 2023.
Butendiek recently entered into a new power purchase agreement with a large multinational for 62.5% of the output of the wind farm for a period of six and a half years. The PPA covers circa 700GWh per year.
The Butendiek investment is subject to regulatory approval and scheduled to complete in November 2023.
Post-acquisition of Butendiek, Greencoat Renewables’ total borrowings would stand at 48% of Gross Asset Value.
Greencoat Renewables investment manager Bertrand Gautier said: “We are delighted to further increase our investment in Butendiek at a value that is accretive to NAV. The transaction was originated on a bilateral basis and reflects the company’s continued ability to transact rapidly and generate significant shareholder value through selective off-market investments.
“Butendiek also demonstrates Greencoat Renewables’ ability to actively manage its contracted revenue mix by re-contracting assets and capitalising on the increasing demand for renewable energy PPAs from multinational organisations.”