Clare wind farm acquired by Greencoat Renewables

International energy investment company Greencoat Renewables has acquired a newly-operational wind farm in Co Clare for €35.4m.

The 14.1MW wind farm is located at Letteragh and consists of six Enercon turbines which have been operational since December.

The purchase brings Greencoat’s portfolio of wind assets to 476MW. Enercon will continue to operate and maintain the turbines.

The wind farm’s revenues are contracted under the REFIT 2 scheme which provides a long term guaranteed minimum floor price for the electricity generated until 2032.

Letteragh is similar to several other small-to-mid-sized acquisitions which Greencoat has completed in Ireland in recent years.

Paul O’Donnell Investment Manager said: “We are pleased to announce the acquisition of Letteragh Wind Farm, adding another high-quality wind asset with long-term contracted revenues to our portfolio.

We will continue to work with both international and local developers, providing them with an opportunity to recycle capital into new projects, while enabling us to drive long-term value for our shareholders.

Shares in Greencoat Renewable have risen more than 10% over the past year.

Analysis by Davy shows Greencoat paid an initial consideration of €35.4m for the Letteragh asset, or €2.5m/MW.

“The price is slightly above the portfolio average but consistent with other assets which it has bought of a comparative age and wind resource,” Davy said.