Aquila European Renewables buys 22.4-MW operating wind farm in Denmark

Aquila European Renewables Income Fund plc (LON:AERS) said today it has expanded its Danish operations by acquiring the owner of a 22.4-MW wind farm that will “immediately generate a strong dividend yield.”

In a bourse filing, the fund said it has purchased 100% of the shares of Svindbaek Vindkraft HoldCo ApS for EUR 25.3 million (USD 28.2m). This amount will be equal to around 16.4% of the funds raised in the company’s initial public offering (IPO) in June 2019.

The Svindbaek wind farm is located on the western Danish coast and operates under a feed-in premium tariff contract for a fixed volume of production that is seen to last for another nine years. Its annual generation is enough to meet the average power demand of around 5,098 European homes while offsetting 18,337 tonnes of carbon dioxide (CO2) emissions.

The deal represents Aquila European Renewables’ second acquisition on the Danish wind market since its IPO and lifts the share of the already invested IPO funds to 71.9%. Just a month after the floatation, the company bought the owner of the Vestas-equipped Holmen II wind farm in Denmark, with a capacity of 18 MW.

(EUR 1.0 = USD 1.114)

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