Greencoat UK Wind is to acquire Dalquhandy wind farm in Scotland from BayWa’s renewables division for a total consideration of approximately £50m.
Dalquhandy is a 42MW wind farm located near Coalburn in South Lanarkshire, is adjacent to Douglas West wind farm, and comprises 10 Vestas V136 4.2MW turbines.
The wind farm benefits from a 10 year fixed price PPA with BT for 80% of its output.
The acquisition is expected to complete in May 2023 and will be funded from cash, which will be reinvested to grow Greencoat’s generating capacity to 1652MW.
Dalquhandy is the sixth wind farm that Greencoat has bought from BayWa and follows on from Cotton Farm and Earl’s Hall Farm (2013), Kildrummy (2014), Stroupster (2015) and Bishopthorpe (2017).
Chairman of Greencoat UK Wind Shonaid Jemmett-Page said: “Greencoat UK Wind continues to generate significant cash flow in excess of its dividend and we are delighted to announce the acquisition of Dalquhandy wind farm.
“This NAV accretive transaction grows our portfolio to 46 wind farms with a generating capacity of 1652MW.
“Our pipeline of potential acquisitions remains healthy and we look forward to making further attractive investments in due course as we continue to play our role in decarbonising the UK economy.”