Greencoat Renewables acquires Tipperary wind farm

An Cnoc Wind Farm, located in County Tipperary, consists of 5 Enercon E70 turbines that have been operational since March 2018

Irish renewable infrastructure company Greencoat Renewables has acquired a Tipperary wind farm and announced a new €200m five-year term loan.

An Cnoc Wind Farm, located in County Tipperary, consists of five Enercon E70 turbines that have been operational since March 2018 and will increase generation capacity to 550MW.

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

Enercon will continue to manage the operations and maintenance contract.

The acquisition is being funded by the company’s existing credit facility. 

Following completion, total borrowings will represent 45% of Greencoat Renewables gross asset value.

€200 million term loan

The company has also announced a new €200 million five-year term loan with a syndicate of three banks, Commonwealth Bank of Australia, National Australia Bank and Natwest.

The loan will be used to pay down some of the existing revolving credit facility, leaving it drawn at around €115 million.

The company also indicated it may add additional term loan facilities in order to” more efficiently maintain its long-term target leverage.” 

Bertrand Gautier, partner at Greencoat Capital, the investment manager, said: “We have now established a new term loan facility with a syndicate of three relationship banks to provide depth to our capital structure in line with our leverage strategy.” 

“We are very pleased with the terms of the facility, and the acquisition flexibility that it will provide.”