Cheaper, cleaner & more reliable energy solutions

Energy efficiency involves the delivery of cheaper, cleaner and more reliable energy solutions at the point of use, reducing or eliminating reliance on the grid or subsidies. This can be achieved for commercial, industrial and public buildings through on-site energy generation, such as combined heat and power units and roof-top solar installations, or through energy demand reduction measures, such as efficient lighting, heating and cooling solutions and also through effective use of energy storage solutions. A substantial and rapidly growing marketplace has emerged for energy efficiency solutions, providing SEEIT with an attractive growth sector in which to invest.

Company strategy

  • Owns and manages a diverse portfolio of energy efficiency and distributed energy generation assets
  • Invests in proven operational projects that deliver energy for commercial, industrial and public sector buildings
  • Finances or refinances energy efficient assets and equipment
  • Acquires portfolios, platforms or individual assets
  • Invests for the long-term, with a focus on optimising and improving assets
  • Finances the roll-out of energy efficiency solutions at scale

Our investment policy

  • SEEIT’s investment objective is to generate an attractive total return for investors comprising stable dividend income and capital preservation, with the opportunity for capital growth.
  • SEEIT achieves this through investing principally in a diversified portfolio of energy efficiency projects with high-quality counterparties.
  • The contracts governing these energy efficiency projects entitles SEEIT to receive stable, predictable cash flows in respect of predominantly operational energy efficiency equipment installed at counterparties’ premises and used by them.
  • SEEIT invests and manages its energy efficiency projects with the objective of assembling a high quality, diversified portfolio with respect to technology, manufacturer and public and private sector Counterparties.
  • Whilst SEEIT invests predominantly in operational energy efficiency projects, under certain circumstances SEEIT may invest in projects which are at the development or construction phase. SEEIT will invest in UK, Europe and North America and other jurisdictions on a selective basis on a risk adjusted basis.
  • Investment restrictions

    • No energy efficiency project investment by SEEIT will represent more than 20 per cent. of gross asset value, calculated at the time of investment.
    • The aggregate maximum exposure to any Counterparty will not exceed 20 per cent. of gross asset value, calculated at the time of investment;
    • The aggregate maximum exposure to energy efficiency projects in either a development phase or construction phase will not exceed 35 per cent. of gross asset value, calculated at the time of investment, provided that, of such aggregate amount, the aggregate maximum exposure to energy efficiency projects in a development phase will not exceed 10 per cent. of gross asset value, calculated at the time of investment; and
    • SEEIT will not invest in other UK listed closed-ended investment companies.
  • Borrowing

    • SEEIT will maintain a conservative level of aggregate gearing in the interests of capital efficiency, in order to seek to enhance income returns, long term capital growth and capital flexibility. SEEIT’s target medium term gearing will be up to 35 per cent. of net asset value, calculated at the time of borrowing (the ‘‘Structural Gearing’’).
    • SEEIT may also enter into borrowing facilities on a short term basis to finance acquisitions (‘‘Acquisition Finance’’), provided that the aggregate consolidated borrowing of SEEIT and the project special purpose vehicles (“SPV’s”), including any Structural Gearing, shall not exceed 50 per cent. of net asset value, calculated at the time of borrowing. SEEIT would intend to repay any Acquisition Finance with the proceeds of a Share issue in the short to medium term.
    • Structural Gearing and Acquisition Finance will be employed either at the level of SEEIT plc, at the level of the relevant project SPV or at the level of any intermediate wholly owned subsidiary of SEEIT, and any limits set out in this Prospectus shall apply on a consolidated basis across SEEIT, the project SPVs and such intermediary holding company. It is expected that Structural Gearing and Acquisition Finance will primarily comprise bank borrowings, though small overdraft facilities may be utilised for flexibility in corporate actions.
  • Currency and hedging policy

    • SEEIT may use derivatives for efficient portfolio management but not for investment purposes. In particular, SEEIT may engage in full or partial interest rate hedging or otherwise seek to mitigate the risk of interest rate increases and full or partial foreign exchange hedging to mitigate the risk of currency inflation.
    • SEEIT will only enter into hedging contracts and other derivative contracts when they are available in a timely manner and on terms acceptable to it. SEEIT reserves the right to terminate any hedging arrangement in its absolute discretion.
  • Cash management

    • Whilst it is the intention of SEEIT to be fully or near fully invested in normal market conditions, SEEIT may hold cash on deposit and may invest in cash equivalent investments, which may include short term investments in money market type funds and tradeable debt securities (‘‘Cash and Cash Equivalents’’).
    • There is no restriction on the amount of Cash and Cash Equivalents that SEEIT may hold and there may be times when it is appropriate for SEEIT to have a significant Cash and Cash Equivalent position instead of being fully or near fully invested.
  • Changes to investment policy

    • No material change will be made to SEEIT’s investment policy without the prior approval by ordinary resolution of shareholders.

What is energy efficiency?

Learn about how we approach, and
solve the issue of energy inefficiency
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Responsible Investing

SEEIT has established Environmental, Social and Governance (ESG) principles which have a positive impact throughout its portfolio of investments.

SEEIT actions positively impact the environment by reducing the amount of carbon dioxide produced and increasing the amount of renewable energy generated.

SEEIT has been awarded the Green Economy Mark from the London Stock Exchange. The Green Economy Mark identifies London-listed companies and funds that generate between 50% and 100% of total annual revenues from products and services that contribute to the global green economy.

  • Environmental Principles

    • SEEIT, through its investments, will protect the environment through energy efficiency-related measures:
      • Through the deployment and/or operation of ‘Best Available Technology’ equipment and lower carbon solutions.
      • Through utilisation of waste gases or other waste.
      • Through minimising resource usage.
    • SEEIT will support the achievement of net zero carbon targets:
      • Through reduced greenhouse gas emissions.
  • Social Principles

    • In projects or assets invested in, to ensure safe working conditions.
    • To encourage diversity, inclusion and a positive environment in the
      workplace.
    • To cultivate positive relations with service providers and with key partners (including suppliers), stakeholders and local communities of the Project Companies.
    • To consider the social impact of projects in which SEEIT invests.
  • Governance Principles

    • To comply with best governance practice for both SEEIT and the
      other companies in the Group.
    • To champion ESG principles and support the clients, agents and other partners of Project Companies in so doing.
    • To mandate that SDCL’s applicable Investment Committee implements ESG principles in their analysis of new investments for SEEIT.
    • To ensure the long-term sustainable growth of the firm.
    • To manage appropriately any conflicts of interest that might arise.