Citywire: Acquisition Spree Keeps Green Energy Funds Busy Over XmasCommercial/ 04 January 2021
On Christmas Eve, SDCL Energy Efficiency Income (SEIT), a £560m investment trust, agreed to acquire $150m of US solar and energy storage projects as well as a 50% stake in their developer, Onyx Renewable Partners, managed by private equity firm Blackstone. The London-listed energy efficiency fund today announced it had spent $36m acquiring a further interest in Indiana-based assets.
The closed-end fund has grown quickly since raising £100m to launch in December 2018, most recently raising £105m in October. Shareholder total returns, including dividends, were 4% last year, with the shares sinking slightly from August highs. Stockbroker Numis Securities called the latest transaction ‘significant’ and said the 5.8% premium to net asset value (NAV) at which the shares ended 2020 reflected the ‘in-vogue’ nature of energy efficiency and storage.