May 3 (Renewables Now) - Gore Street Energy Storage Fund plc on Friday said it now aimed to raise GBP 35 million (USD 47.7m/EUR 39.7m) from its listing on the London stock exchange (LSE), down from its previous target of GBP 100 million.
The fund, however, lifted its target dividend for the year through March 2019 to 4% of net asset value (NAV) per ordinary share. It previously expected a dividend of 3%. Gore Street explained that the lower target translates into a reduction of the expected time required to deploy the proceeds, so the "cash drag" would be lower and the dividend higher.
Gore Street will invest in utility-scale energy storage assets mainly in the UK but will also consider projects in North America and Western Europe. It will not invest in projects under development. Its seed portfolio of 18 MW includes three assets using batteries by NEC Energy Solutions Inc and Tesla (NASDAQ:TSLA). The company said in March it had a large identified pipeline of over 60 potential projects totalling about 1,340 MW.
The minimum net proceeds from the listing have been revised to GBP 30 million, from GBP 75 million previously, so the fund had to seek the Financial Conduct Authority’s (FCA) approval of a supplementary prospectus. An updated timetable will be available once the green light is secured, but investors can expect an update no later than May 11, Gore Street pointed out.
(GBP 1 = USD 1.37/EUR 1.14)