GIB eyes GBP 500m for UK offshore wind fund by end-Mar - report
Oct 20, 2014 - The UK’s Green Investment Bank (GIB) may secure as much as GBP 500 million (USD 806m/EUR 632m) by the end of March 2015 for its planned offshore wind fund, investment banking head Ed Northam told Bloomberg today.
In June the bank said it planned to launch a GBP-1-billion fund that will promote investment in existing offshore wind farms in the Britain. Already, the idea has attracted the attention of two potential investors which may contribute between GBP 100 million and GBP 200 million each, Northam was cited as saying. Other smaller investors are also interested in participating.
The first close of the fund could bring GBP 400 million-500 million by March, with the GIB itself bringing up to 20%, Northam told the news agency.
The UK’s installed wind power capacity currently amounts to 3.6 GW. "Equity investments in operational wind farms can offer a compelling opportunity for investors seeking long-term, inflation-linked returns," the bank said when announcing the plan in mid-summer.
In his interview with Bloomberg, the investment banking head also noted that GIB still could achieve its goal of investing GBP 700 million-800 million in the current fiscal year. During the first half it committed only GBO 102 million but it is approaching certain large deals now.