TRIG to take stake in 100-MW Akuo-developed French renewables portfolio

The Renewables Infrastructure Group Ltd (LON:TRIG) is set to invest in a company that owns around 100 MW of onshore wind, solar and battery storage assets in France and territorial islands.

The UK fund has exchanged contracts to invest in Phoenix SAS, it said in a bourse filing on Tuesday. The target entity owns a renewables portfolio that includes five onshore wind farms in northern France totalling 74 MW and four solar photovoltaic (PV) parks with battery storage located on the islands of Corsica and La Reunion. The solar-plus-battery assets have a combined capacity of 29 MW.

TRIG’s investment will be made in the form of mezzanine level bonds that will be fully repaid within 12 years. The repayment will occur within the remaining subsidy life of the portfolio. “The investment has an attractive return with very little sensitivity to changes in wholesale power prices,” the UK fund said, adding that the bonds provide it with rights similar to those of a minority equity investor.

All assets were developed by France’s Akuo Energy and benefit from the French government’s feed-in tariff (FiT) subsidy.

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