The Renewables Infrastructure Group Ltd (LON:TRIG) announced on Tuesday that it will issue new ordinary shares to repay amounts drawn under its revolving credit facility (RFC) and meet near-term funding requirements as it pursues new investment opportunities.
Its board proposed a non-pre-emptive issue at a price of GBP 1.24 (USD 1.709/EUR 1.444), which represents a 3.6% discount to the mid-market closing share price on August 27, the UK investment company said.
The latest issue will follow TRIG’s wider issuance programme, established in March 2021, under which the company is able to issue up to 600 million new ordinary and C shares over a 12-month period. So far, 195 million of new ordinary shares have been issued.
The net proceeds will be spent on repaying the RCF, which currently stands at around GBP 141 million drawn following investments made earlier this year. TRIG said it will also consider near-term funding needs of future acquisitions when determining the size of the issue.
Among the acquisition targets that TRIG is after is a portfolio of solar PV assets located on the Iberian Peninsula. The company says it is currently in an advanced stage of negotiations to acquire it, but also warns that there is no guarantee that the Iberian investment will be completed.
TRIG will receive orders under the placing until Tuesday, September 14. Results of the issue will be announce the next day.
Investec Bank plc and Liberum Capital Limited are serving as joint bookrunners in the issue.
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