VH Global Sustainable Energy to raise funds for more investments

Wind farm in Mexico. Author: Presidencia de la República Mexicana. License: Creative Commons, Attribution 2.0 Generic.

UK investment company VH Global Sustainable Energy Opportunities (LON:GSEO) on Monday launched a placing to raise capital to execute on its enhanced pipeline of assets.

The company, which completed a GBP-242.6-million (USD 329m/EUR 284m) initial public offering (IPO) in February, has already deployed or committed 92% of the IPO net proceeds. It said its investment adviser, Victory Hill Capital Advisors LLP, is seeing sustainable energy infrastructure investment opportunities around the world that exceed expectations at the company's launch.

In the near term, the focus is on the enhanced pipeline which consists of four assets and represents total potential investment value of GBP 258 million.

This pipeline includes a 300-MW portfolio of operating wind farms in Mexico that has a 100% take-or-pay corporate power purchase agreement (PPA) with a listed retail conglomerate; 40 MW of operational run-of-river hydro projects in Brazil; a 50-MW operating portfolio of rooftop solar plants in Vietnam with PPAs with multinational, and large regional commercial and industrial companies; and a 50-MW combined heat and power project in the UK with carbon capture and reuse technology.

The proceeds of the placing are expected to be deployed within six months.

Under the placing, seen to close on November 30, the company proposes to issue shares at GBP 1.015, a premium of 3% to its ex-dividend net asset value (NAV) as at September 30 and a discount of 4.25% to the closing share price as at November 5.

(GBP 1 = USD 1.356/EUR 1.171)

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